The Australian dollar has risen to a near one-week high as the Reserve Bank of Australia (RBA) held interest rates at 2.5 per cent. The RBA anticipates a period of interest rate stability as the Aussie dollar remains high.
The Australian central bank expects to see improvement in the labour market in the near future but unemployment will remain high.
Australia's coalition government is set to announce an austere budget next week, including raising the retirement age, income tax and reductions in public spending.
Wheat futures climbed as the crisis in Ukraine took a turn for the worst over the weekend. Four Ukrainian troops were killed and 30 wounded in eastern Ukraine during clashes with pro-Russian rebels.
The Aussie dollar is trading at 93 US cents, with the country's S&P/ASX 200 Index up 0.3 per cent. The Shanghai Stock Exchange Composite Index rose by 0.5 per cent. Japanese, South Korean and Hong Kong markets are closed.