Over the past week the AUD strengthened sharply against the USD after the RBA’s minutes signaled a possible hawkish tilt while markets pushed back Fed tightening expectations. USD/AUD dropped from ~1.51 to ~1.49 as commodity support, technical breakouts and diverging rate expectations aligned to favor the Australian dollar.

The AUD/USD pair climbed this week as markets priced earlier-than-expected Reserve Bank of Australia hikes and the U.S. dollar softened on weak U.S. data and growing Fed cut bets. Technical breakouts added momentum, but a packed economic calendar — including Australian Q3 GDP and key U.S. activity reports — keeps volatility high.

A clear policy split — the Fed easing and the RBA holding rates — pushed USD/AUD lower over the past week. The Australian dollar gained about 1.3% as markets priced in further Fed cuts and a possible RBA hike. This article breaks down the policy drivers, recent price action, technical levels, and practical trade considerations for USD/AUD.

USD/AUD slid from ~1.53 to around 1.50 this week as expectations shifted: the RBA moved toward a hawkish stance amid persistent inflation, while markets priced in imminent Fed rate cuts—weakening the dollar and lifting the AUD.

USD/AUD weakened this week as rising odds of a December Fed interest-rate cut pushed the dollar lower while surprise strength in Australian inflation reduced RBA easing expectations, supporting the AUD. Traders saw the pair trade in a tight 1.53–1.55 band amid these opposing forces.

The AUD fell about 1.2% against the USD over the past week as rising U.S. Treasury yields and mixed Australian inflation data shifted rate expectations. Strong Australian trade figures and cautious RBA commentary limited losses, leaving traders focused on yields, upcoming CPI prints and China demand.