Ella 
AUD/USD gained some room to gain as the U.S. dollar traded lower on Monday after U.S. markets were thin due to the Memorial Day holiday. Australian dollar traders will focus on Australia’s April retail sales on Tuesday, while the US PCE price index later this week is also in focus.
Australian retail sales are expected to rebound to 0.2% on month in April after recording -0.4% in the previous month. Looking ahead to Wednesday, Australia’s consumer price index (CPI) is expected to be at an annual rate of 3.4% in April, compared with the previous reading of 3.5%.
U.S. markets resume trading this week after a long holiday weekend, with talking points from Federal Reserve officials expected to take center stage. Several Fed policymakers are expected to speak this week.
The economic calendar ends with the release of the latest U.S. PCE price index on Friday. Investors expect the core PCE price index to hold steady at 0.3% in April. If the data is higher than expected, inflation will remain a key issue for the United States and could dampen risk appetite, while if the data is lower than expected, it will keep investor sentiment high.
