- AUD/USD attracts buyers for the fourth successive day amid a modest USD downtick.
- The prospects for slower Fed rate cuts and elevated US bond yields favor the USD bulls.
- US-China trade war fears and the RBA’s dovish shift might cap the upside for the Aussie.
The AUD/USD pair regains positive traction following the previous day's pullback from the 0.6300 mark, or over a two-week top and builds on its steady intraday ascent through the first half of the European session on Tuesday. Spot prices currently trade around the 0.6285 region and draw support from a modest US Dollar (USD) downtick.
The USD Index (DXY), which tracks the Greenback against a basket of currencies, languishes near a one-week low touched on Monday amid the uncertainty over US President-elect Donald Trump's tariff plans. In fact, the Washington Post reported that Trump's aides were exploring plans that would apply tariffs only on sectors seen as critical to US national or economic security. Trump, however, denied the report in a post on his Truth Social platform. This, in turn, keeps the USD bulls on the defensive and turns out to be a key factor acting as a tailwind for the AUD/USD pair.
Meanwhile, the Federal Reserve (Fed) adopted a more hawkish stance at the end of the December policy meeting and signaled that it would slow the pace of rate cuts in 2025. The outlook remains supportive of elevated US Treasury bond yields, which, along with persistent geopolitical risks, should act as a tailwind for the safe-haven buck. Furthermore, concerns about a fresh round of US-China trade war and the Reserve Bank of Australia (RBA) dovish shift should cap the Aussie. This, in turn, might hold back traders from placing aggressive bullish bets around the AUD/USD pair.
Investors might also opt to wait on the sidelines ahead of this week's release of the FOMC meeting minutes and the closely-watched US Nonfarm Payrolls (NFP) report on Wednesday and Friday, respectively. In the meantime, Tuesday's US economic docket – featuring the ISM Services PMI and JOLTS Job Openings data – might provide some impetus to the AUD/USD pair. Nevertheless, the fundamental backdrop warrants caution before positioning for an extension of the recent bounce from the 0.6180 region, or the lowest level since November 2022 touched last week.
US Dollar PRICE Today
The table below shows the percentage change of US Dollar (USD) against listed major currencies today. US Dollar was the strongest against the Japanese Yen.
USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
---|---|---|---|---|---|---|---|---|
USD | -0.39% | -0.37% | -0.14% | -0.18% | -0.66% | -0.84% | -0.16% | |
EUR | 0.39% | 0.01% | 0.23% | 0.21% | -0.27% | -0.45% | 0.21% | |
GBP | 0.37% | -0.01% | 0.24% | 0.20% | -0.28% | -0.47% | 0.20% | |
JPY | 0.14% | -0.23% | -0.24% | -0.04% | -0.52% | -0.71% | -0.04% | |
CAD | 0.18% | -0.21% | -0.20% | 0.04% | -0.48% | -0.67% | 0.00% | |
AUD | 0.66% | 0.27% | 0.28% | 0.52% | 0.48% | -0.18% | 0.48% | |
NZD | 0.84% | 0.45% | 0.47% | 0.71% | 0.67% | 0.18% | 0.67% | |
CHF | 0.16% | -0.21% | -0.20% | 0.04% | 0.00% | -0.48% | -0.67% |
The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the US Dollar from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent USD (base)/JPY (quote).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks

AUD/USD remains depressed below 0.6300 as trade jitters underpin USD
AUD/USD trades with a negative bias below the 0.6300 mark amid a mildly stronger USD, which hit a three-week top during the Asian session. Moreover, worries over Trump's trade tariffs weigh on investors' sentiment and further undermine the risk-sensitive Aussie amid bets that the RBA will cut interest rates again in May.

USD/JPY flat-lined around mid-150.00s; remains close to multi-week high set on Tuesday
USD/JPY struggles to build on the overnight move higher and oscillates around mid-150.00s during the Asian session on Thursday amid mixed cues. Hawkish BoJ expectations and the risk-off impulse, led by Trump's new tariff on imported cars, underpin the safe-haven JPY, capping spot prices.

Gold price sticks to positive bias above $3,000 on safe-haven demand
Gold price ticks higher during the Asian session on Thursday as worries about Trump's tariff plans continue to benefit the safe-haven bullion. However, a modest USD uptick to a three-week high caps the commodity. Traders also seem reluctant and opt to wait for the release of the US PCE Price Index on Friday.

Stablecoin mania kicks off as Wyoming and Fidelity join the race
According to Governor Mark Gordon, the state of Wyoming has joined the race for a stablecoin, following plans to launch WYST, a US Dollar-backed token in July.

Sticky UK services inflation shows signs of tax hike impact
There are tentative signs that the forthcoming rise in employer National Insurance is having an impact on service sector inflation, which came in a tad higher than expected in February. It should still fall back in the second quarter, though, keeping the Bank of England on track for three further rate cuts this year.

The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.