:: Australian Dollar: The Australian Dollar opens higher today around US71 cents having received a boost from higher commodity prices and stronger equity markets at the end of last week. During offshore trade, the Aussie moved between a range of 0.6915 and 0.7104 and today's opening level is the highest since October 7, 2008. The Aussie rallied in late New York trade on Friday night after the Dow Jones Industrial Average started to post strong gains throughout the session. As a result, the market's appetite for risk-sensitive currencies gradually increased.

- We expect a range today in the AUD/USD rate of 0.7060 to 0.7150

:: Great Britain Pound: Pound Sterling has slid against the Euro and touched the lowest level in almost seven years against the US Dollar on speculation the recession in the United Kingdom will deepen. The pound opens the week at 1.4538 after economic data released on Friday in the UK showed that UK mortgage approvals for November have dropped to their lowest level since 1999. Meanwhile, the pound opens lower against the Australian Dollar (2.0450) and the New Zealand Dollar (2.4800).

- We expect a range today in the GBP/AUD rate of 2.0200 to 2.0550

:: New Zealand Dollar: The New Zealand Dollar opens the week higher at 0.5857 as equities and commodities are both firmer and the market's appetite for risk improves. The kiwi traded overnight between a low of 0.5749 and a high of 0.5866 during late new York trade. The kiwi has also moved higher on several of the cross rates and opens the week stronger against the Yen, Euro and Pound Sterling. Movements in currencies have been quite volatile over the New Year holiday period due to thin liquidity.

- We expect a range today in the NZD/USD rate of 0.5800 to 0.5920

:: Majors: The Euro opens lower against the dollar this week on speculation a weakening economy will prompt the European Central Bank (ECB) to reduce interest rates further. The Euro is currently trading at 1.3917, down from Friday night's high of 1.3986. ECB vice-president Lucas Papademos said on Friday that the economic outlook remains uncertain and the recovery will not start until the beginning of 2010. The Euro has fallen 1.3 per cent from December 26, the first weekly decline against the greenback in over a month. Meanwhile, the big dollar is higher against the Yen today at 92.20.

:: Data Releases:

• AUD: No data expected

• CAD: No data expected

• EUR: Retail Sales, Germany, Nov; Euro Zone investor confidence, Jan

• GBP: No data expected

• JPY: Vehicle Sales, Dec

• NZD: No data expected

• USD: US construction spending, Dec