The Australian dollar fell to a new month-low overnight as the US dollar and international markets strengthened in the face of momentarily quelled fears of a Greek default.
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The dollar reached a low of US76.91¢ in early trading in New York as European and US stocks and currencies rallied.
Comments by Greek prime minister Alexis Tsipras that they were beginning to draft an agreement with those to whom they owes credit, including the International Monetary Fund and the European Union, were well received in the market.
Despite European Commission vice president Valdis Dombrovskis warning that the agreement had not been drafted yet, the positive impact continued, driving European and US stocks and currencies upward.
The strength of both currencies pushed the Australian dollar below 77 US cents before it recovering to be trading at about US77.1 cents as the sun rose in the eastern states.
The dollar is likely to face a significant impact on Thursday as the capital expenditure data is released for the first quarter.
Many analysts are expecting investment in non-mining companies to remain low, which will fuel fears the economy is not adequately transitioning to a more diverse base as the mining boom slows.
"The survey of Australia private capital expenditure for the first quarter will probably provide more evidence that non-mining investment is struggling to offset the ongoing plunge in the mining sector," Capital Economics Paul Dale said.
Mr Dale is expecting an even bigger drop in the first quarter spending than fourth quarter last year.
The data will be released at 11.30am on Thursday.
