In Canada, Ivey Purchasing Managers’ Index (PMI), Monthly Survey to rate the business conditions including employment, production, new orders, prices, supplier deliveries, and inventories reduce to 58.6 from 63.5 on the last month and indicates industry expansion.

The Australian economy, with its great dependence on exports, has been hit hard by the global economic slowdown, but now finds itself well-prepared for an improvement in the global economy, especially that of the US. The aussie has benefitted from this, and has been an exceptional performer in 2012.

In the US, Dennis Lockhart, Federal Reserve Bank of Atlanta President, is about to speak in Atlanta.

Updates: The Australian dollar was hit by a weak retail sales report – sales didn’t grow during the previous month. After the initial fall, AUD/USD rose on European strength and reconquered 1.02. The Australian dollar enjoyed a leap of 8.4% in building approval – more than expected. Also the high Chinese trade balance surplus helps.

In the US, Daniel Tarullo, Federal Reserve Governor, is about to speak in Washington DC.

In the US, Consumer Credit, value of unpaid requires payments consumers credit that over the previous month, due to rise from -9.5B on October up to 5.2B now.

Glenn Stevens acknowledged the global slowdown and easing inflation and cut the interest rate to 4.50%. This weighed heavily on the pair, as well as no new hints on QE3 in the US.

In the US, Unemployment Claims, significant indicator of overall financial health, weekly report to value the number of unemployed that for the first time filed for insurance over the passing week, raise from 391K to  is expected now.

More signs of slowdown in China and the double downgrade for New Zealand weighed on the Aussie. As risk aversion eventually took over, the Aussie, which is considered a risk currency, dropped as well.Apart from the rate decision, housing figures will be of interest this week.

In the US, ISM Non-Manufacturing Purchasing Managers’ Index (PMI); measurement of the relative level of business conditions based on a monthly survey, slightly reduced from the last month to 51.3 points from 52.7 points.