Australian Bureau OF Statistics

AUD/USD extended its decline after the Reserve Bank of Australia lifted interest rates to 4.85%, the highest level in eighteen years. Technical traders are watching 0.6895 as the next downside target, while a move above 0.7000 would weaken the bearish setup.

AUD/USD steadied around 0.6953 after touching 0.6900, with traders reassessing Federal Reserve expectations following softer US inflation and jobs data. Technical traders see scope for a short-term rebound toward 0.7050, even as the broader trend remains pressured.

AUD/USD is consolidating after last week’s Federal Reserve rate hike triggered a sell-off, with traders watching Australian data and key geopolitical developments. RBA expectations, domestic PMI and employment figures, U.S.-China talks, and Russia-NATO tensions may determine whether the pair breaks higher or extends its decline.