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The AUD\/USD pair marches toward the round-level resistance of 0.6700 in Monday\u2019s European session. The Aussie asset gains as the US Dollar (USD) faces sharp selling pressure amid firm speculation that the Federal Reserve<\/a> (Fed) will start lowering interest rates<\/a> from the September meeting.<\/p>\n The expectations for Fed rate cuts have been prompted by an expected slowdown in price pressures. The United States (US) Personal Consumption Expenditure<\/a> (PCE) report for May showed that the annual core inflation measure decelerated to 2.6% from the prior release of 2.8%.<\/p>\n A decline in the US inflationary pressures has boosted expectations of early rate cuts by the Fed. The CME FedWatch tool shows that the central bank will begin reducing its key borrowing rates from the September meeting.<\/p>\n For more interest rate cues, investors await the US labor market and PMI data for June, which are lined up this week.<\/p>\n In Monday\u2019s session, investors will focus on the US ISM Manufacturing PMI data, which will be published at 14:00 GMT. The Manufacturing PMI is estimated to have improved to 49.0 from May\u2019s reading of 48.7. However, a figure below the 50.0 threshold is itself considered as contraction in factory activities.<\/p>\n On the Aussie front, major triggers for the Australian Dollar this week, such as the Reserve Bank of Australia (RBA) minutes and monthly Retail Sales for May. The RBA minutes will provide more cues about whether the central bank will hike interest rates further.<\/p>\n The recent surge in price pressures in Australia has strengthened the likelihood of further policy tightening by the RBA<\/a>. The annual Monthly Consumer Price Index (CPI) rose at a faster pace of 4.0% in May than estimates of 3.85 and the prior release of 3.6%.<\/p>\n The minutes of the Reserve Bank of Australia<\/a> meetings are published two weeks after the interest rate decision. The minutes give a full account of the policy discussion, including differences of view. They also record the votes of the individual members of the Committee. Generally speaking, if the RBA<\/a> is hawkish about the inflationary outlook for the economy, then the markets see a higher possibility of a rate increase, and that is positive for the AUD.<\/p>\nEconomic Indicator<\/h2>\n
RBA Meeting Minutes<\/h3>\n