Despite a defensive start to the week,.......>

AUSSIE: Despite a defensive start to the week, AUD/USD staged a dynamic recovery

in Monday's European & U.S. hours, as the unwinding of initial risk-off flows

was accelerated on the back of the Fed's announcement that it will start buying

corporate bonds under an emergency lending facility that had only purchased ETFs

before. This allowed the rate to finish the day on the front foot.

- Topside momentum has carried over into the Asia-Pac session and the pair

posted a leg higher. It last sits at $0.6946, 27 pips better off. Bulls look to

clear Jun 11 high of $0.7005, which would open the bull trigger at $0.7063, the

high of Jun 10. Bears keep an eye on Monday's low of $0.6777 and a break here

would open up Jun 1 low of $0.6646.

- The AFR reported that New South Wales' Treasurer is poised to unveil forecasts

noting that the state's economy will shrink 10% this FY & lose 275k jobs.

- Australian economic docket this week is headlined by RBA Jun MonPol meeting

minutes, weekly payroll jobs and wages & Q1 house price index (today), labour

mkt data (Thursday) and flash retail sales (Friday).