Australia dollar stays in tight range against the greenback today as RBA minutes suggested that the central bank is in no hurry to cut interest rates. RBA noted that "recent domestic data had generally been positive". And very low interest rates were supporting growth in "household consumption and dwelling investment". And falling exchange rates boosted "demand for domestic production". Though, there was "still evidence of spare capacity in the economy". Also, the minutes noted that there was "overcapacity" in some parts of China and "conditions were likely to become more difficult over time for a range of unprofitable firms". And there was "some scope for a further easing of monetary policy" when needed.
Elsewhere, US equities staged a rebound, following the recovery in oil price. DJIA closed up 103.29 pts or 0.60% at 17368.5. S&P 500 rose 9.57 pts, or 0.48% to close at 2021.94. Nonetheless, Asian equities don't follow with Nikkei losing another -0.5% at initial trading. WTI crude oil is back above 36 for the moment after dipping to as low as 34.53 yesterday. Dollar index is hovering in tight range around 97.50 for the moment. The economic calendar is rather busy today. But reactions could be muted as focus is on Wednesday's FOMC rate hike.
On the data front. Australia house price rose 2.0% qoq in Q3, slightly below expectation of 2.1% qoq. Inflation data will be a focus in European session as Swiss will release PPI. UK will release CPI and PPI. Germany will release ZEW economic sentiment. Fro US, CPI will also be featured together with Empire state manufacturing, NAHB housing index.