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Australian Dollar flatlines as US yield ripples meet RBA hawks

  • AUD/USD stays flat as Treasury buyback briefly lifts Dollar.
  • Higher US yields offset support from fading Greenback strength.
  • US PPI and RBA expectations could break Aussie stalemate.

The Australian Dollar is virtually unchanged against the US Dollar on Wednesday amid a light economic calendar, with the US Treasury's announcement of a buyback for the September 10 auction boosting the Greenback. The AUD/USD trades at 0.7219, flat.

AUD/USD stalls as higher yields and Hormuz risks offset RBA hawks

Earlier, the US Treasury released a statement in which it said it would buy up to $6 billion of outstanding securities set to mature in the 10- to 20-year tranche. This pushed the US Dollar higher, but that move faded as the North American session progressed.

US Treasury yields ended higher in the session. The 10-year hit 4.845%, up five basis points, while the 30-year used to calculate mortgage rates rose four and a half basis points, at 5.293%:

In the Middle East, hostilities continued near the Strait of Hormuz, as Tehran continues to launch several attacks on US military facilities and warships, while Washington targets Iranian Oil vessels.

Data in the US featured the ADP Employment Change 4-week average, which rose from 10K to 12K. Now eyes are set on the Producer Price Index (PPI) on Thursday, which is expected to rise from 0% to 0.4% MoM and from 4.7% to 5.3% annually. Core figures are foreseen to rise from 0.2% to 0.3% MoM, while for the twelve months to August, the number is projected to increase to 4.6%.

In Australia, the Reserve Bank of Australia (RBA) Deputy Governor Hauser said that at the next meeting, the debate will focus on whether to raise interest rates, following the RBA's 75-basis-point rate hike to 4.35% this year.

Ahead, the Aussie economic schedule will feature Consumer Inflation Expectations for September, which, if it comes in above August’s 4.9%, could spark a hawkish repricing of the RBA.

AUD/USD Price Forecast: Technical Outlook

Chart Analysis AUD/USD
AUD/USD daily chart

In the daily chart, AUD/USD trades at 0.7220, extending its advance above the cluster of underlying trend support and the simple moving average triple, last around 0.7057. Price action holding over the horizontal floor at 0.7198 keeps the near‑term bias bullish, while the Relative Strength Index (14) near 68 suggests firm but increasingly stretched upside momentum as the pair approaches higher structural barriers.

On the topside, initial resistance is seen at the upward trend-line break near 0.7354, with subsequent barriers emerging at 0.8597 and then 0.9394. On the downside, immediate support is located at 0.7198, ahead of the moving average cluster around 0.7057 and the ascending trend-line levels at 0.7017 and 0.6900, with a deeper structural base at the prior downward trend-line break near 0.6385.

(The technical analysis of this story was written with the help of an AI tool. Know more.)

Australian Dollar Price Today

The table below shows the percentage change of Australian Dollar (AUD) against listed major currencies today. Australian Dollar was the strongest against the New Zealand Dollar.

USDEURGBPJPYCADAUDNZDCHF
USD-0.11%-0.06%-0.29%0.13%-0.04%0.29%0.04%
EUR0.11%0.07%-0.18%0.22%0.08%0.41%0.16%
GBP0.06%-0.07%-0.21%0.17%0.06%0.37%0.08%
JPY0.29%0.18%0.21%0.40%0.23%0.55%0.31%
CAD-0.13%-0.22%-0.17%-0.40%-0.16%0.22%-0.10%
AUD0.04%-0.08%-0.06%-0.23%0.16%0.34%0.05%
NZD-0.29%-0.41%-0.37%-0.55%-0.22%-0.34%-0.27%
CHF-0.04%-0.16%-0.08%-0.31%0.10%-0.05%0.27%

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 Australian Dollar from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent AUD (base)/USD (quote).

Author

Christian Borjon Valencia

Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.

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