All eyes will be on November retail sales and building approvals at 11:30

All eyes will be on November retail sales and building approvals at 11:30. Retail sales will be very interesting; with expectations we will see growth of 0.4%. The RBA will be keen to look at this print and a good number should see the pair rally to around 0.8950, although a blow-out number (+1% or higher) could see 0.9100 being tested through into European trade. Of course on the flip side if we see growth of 0.2% or even a negative print then the AUD/USD could find good selling activity as traders increase bets that rate cuts will be on the cards in Q1. Keep an eye on China's inflation reads at midday and a number above 3% could cause AUD weakness.