AUD Falls as US Dollar Rebounds from Two-Day Decline

The Australian Dollar (AUD) has come under selling pressure on Tuesday due to the US Dollar's rebound from its two-day losing streak.

This shift in market sentiment is attributed to changing expectations about the Federal Reserve's interest rate path, despite ongoing cautionary tones from the Fed.

The AUD/USD pair has been influenced by a combination of factors, including commodity prices, particularly iron ore, and the Reserve Bank of Australia's (RBA) relatively hawkish tone compared to other central banks.