The Australian dollar rose on the first trade session of December against the world's reserve currency after economic data released by the South Pacific nation indicated building approvals fell less than projected, according to Bloomberg.
The Aussie is prone to be impacted by the Tuesday meeting of policy makers with the Reserve Bank of Australia, who are likely to leave interest rates at 2.5 percent. Economists polled by the news service indicated the body will leave interest rates unchanged through next year.
"Changes to watch for include a more upbeat view of non-mining capex and the consumer, which would hint at further policy traction and suggest that the currency is less "uncomfortable"' although still high," states a client note authored by currency strategist Sue Trinh with Royal Bank of Canada in Hong Kong, according to Bloomberg. "We expect a mild easing bias to remain intact."
The Australian dollar rose 0.6 percent against the U.S. dollar after touching its lowest rate since the beginning of September on Friday.
China, a top trade and commerce partner, released strong manufacturing data, which Reuters reports spurred the Aussie's gains on Monday.
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