Home›Forex›Major Pairs›Australian dollar strengthens against US dollar after…

Australian dollar strengthens against US dollar after softer US data

AUD/USD rose 0.35% to 0.7169, as US hiring slowed and money markets kept odds of a 25-basis-point Fed hike at 67.5%.

Reported · Written up by our desk · Major Pairs

The Australian dollar gained against the US dollar on Wednesday, with AUD/USD last trading at 0.7169 after slipping to a daily low of 0.7121. FXStreet linked the move to US economic signals that showed private hiring slowing, alongside a weaker tone for the greenback tied to intervention speculation in FX markets.

US data pointed to a slowdown in hiring, with the ADP National Employment Change for August falling from 46K to 38K, below the 47K forecast. At the same time, the US Dollar Index eased 0.08% to 99.57.

The outlook for interest rates continued to factor in the currency trade, with markets pricing a 25-basis-point rate hike by the Federal Reserve at its September 16 meeting, with odds of 67.5%, according to Prime Terminal. FXStreet also noted that Federal Reserve officials remain split, even as New York Fed President John Williams said inflation has been improving “slowly” and that policy remains appropriate to reduce high prices.

In Australia, GDP for Q2 2026 rose 0.4% quarter over quarter and 2.1% year over year, both above forecasts, although the YoY pace was down from 2.5%. Ahead of additional Australian data, FXStreet said the pair retained a bullish near-term bias, citing key technical levels and resistance around 0.7198.

Latest closeDollar index 99.58 ▼0.1%

More like this

Sources