AUD/USD advanced 8 pips overnight and last...>

AUSSIE: AUD/USD advanced 8 pips overnight and last sits at $0.7187. The pair

jumped ~25 pips at one point, supported by broader USD weakness (the timing of

the move lined up with DXY's drop). This occurred after the release of RBA's Dec

meeting minutes, which struck a modestly dovish tone. The minutes pointed out

familiar downside risks posed by slow household income growth, high debt levels

and falling house prices, while revealing that the Board agreed that the next

move in the policy rate is likely to be a hike, but there is "no strong case"

for policy adjustments in near term. However, the pair erased most of earlier

gains thereafter. 

- Bulls continue to eye $0.7187, where the rate peaked Monday, and a break above

would open up $0.7196 representing the 50-DMA, followed by the 100-DMA at

$0.7222. Conversely bears look for a fall through the cloud top at $0.7174

before challenging the Dec 14 low of $0.7151. 

- Australian labour mkt data will hit the wires Thursday. Otherwise, the

pre-Christmas docket is rather dry.