AUD

The AUD has since stabilised above the USD1.0500, to be currently trading at USD1.0515. Despite a fairly uneventful overnight session with little data released, the AUD took a tumble from yesterday's high of USD1.0580. Commodity prices were the main driver, with gold down almost 1%, copper down 0.6% and aluminium down 0.5%.

The poor Chinese trade data released over the weekend can also be to blame, with the growth in the regions exports falling well below market expectations.

The trade deficit of USD31.5bio is the largest that has been seen in 12 years and while a deficit was expected, it was the figure that surprised the market; especially given the surplus recorded just last month. During our trading session today, the NAB Business Survey is due to be released as well as the housing finance for January. It is expected that despite the rate cuts experienced in both November and December we will see a modest decrease in the housing figures.