• AUD/USD trades with mild gains near 0.6460 in Monday’s early Asian session. 
• Fed Chair Powell downplayed the need for aggressive rate cuts, citing economic strength.
• The hawkish RBA might cap the downside for the pair. 

The AUD/USD pair trades on a stronger note around 0.6460 during the early Asian session on Monday. However, the upside for the pair might be limited amid the cautious remarks from the Federal Reserve (Fed) officials and strong US economic data, which boost the US Dollar (USD) broadly. 

The US Retail Sales increased slightly more than expected in October, according to the Commerce Department's Census Bureau on Friday. Retail sales rose 0.4% in October versus 0.8% prior (revised from 0.4%), above the market consensus of 0.3%. 

Traders reduced their expectations for a Fed rate reduction in December. Fed Chair Jerome Powell said last week that "the economy is not sending any signals that we need to be in a hurry to lower rates.” According to the CME FedWatch Tool, the markets have priced in nearly 60% of the 25 basis points (bps) rate cut by the Fed at the December meeting.