Aussie weakens after falls on equity markets

Sterling strengthened against the aussie yesterday after a drop in local stocks reduced demand for the higher-yielding currency.

• Following mixed cues from Wall Street on Friday, Australian stocks fell yesterday, weakening the higher-yielding aussie as a result. A drop in oil prices also weakened the Australian currency.
  
• Important retail sales and building approvals data are out in Australia overnight tonight, with revised UK first-quarter GDP and current account figures out at 09.30 BST this morning.