It’s been a tough month for the Australian dollar after the US Federal Reserve dampening hopes for interest rate cuts and a string of hurried trade deals kept financial markets on edge.
The currency dropped to a six-week low of US64.24¢ on Thursday as the greenback rallied after Fed chairman Jerome Powell appeared in no hurry to lower borrowing costs amid concern about how tariffs will impact inflation. The US dollar got an extra boost after tech giants Microsoft and Meta Platforms reported strong earnings.
Source: https://www.afr.com/markets/debt-markets/aussie-dollar-tumbles-as-the-fed-and-rba-diverge-on-rates-20250731-p5mj6e