FX.co ★ Australian Dollar Slips as US Dollar Strengthens

The Australian dollar fell below $0.64 on Monday, marking a decrease for the second consecutive session as the US dollar continued to strengthen with a backdrop of easing global trade tensions. Last week, President Donald Trump suggested he might be open to lowering tariffs on Chinese imports, and, in response, Beijing waived certain US goods from its 125% tariffs list. Investors remain wary ahead of anticipated economic stimulus announcements from China, aimed at mitigating the negative effects of US tariffs. Domestically, attention is now on Australia’s upcoming inflation report to be released on Wednesday, which could influence expectations regarding the Reserve Bank of Australia’s monetary policy decisions. The RBA is largely expected to implement another 25-basis-point interest rate cut in May, as policymakers prepare for possible repercussions from the newly enacted US tariffs.