australian-dollar-bank-notes- AUD

U.S. stock futures advanced on Monday although trading volume was light owing to the Martin Luther King Jr. Day holiday.

Tuesday’s will see Bank of America and Netflix report quarterly results.

On Monday China reported a better-than-forecast Q4 GDP figure at 6.5% YoY, making China the only major economy to record positive economic growth in 2020.Chinese Shanghai Composite stock index rallied 0.84% on Monday and Hong Kong’s Hang Seng Index (HSI) gained 1.01%.

Of note the risk-sensitive Australian Dollar, which usually rises on strong Chinese data declined versus its US counterpart. AUD/USD is almost 2% lower from its multi-year highs reached earlier in the recent stronger tone surrounding the US Dollar weighed heavily on the cross.

Foreign direct investment data from China will be in focus. Hong Kong unemployment data may also attract market attention in Tuesday’s session.