AUD Firms on Hawkish RBA Expectations Amid Trump-Xi Summit Uncertainty

Markets are waiting for this week's diplomatic and data catalysts as the Dollar Index holds around 100.22, its post-FOMC advance losing momentum.

Brent oil prices have fallen to an 11-day low near $100 despite fresh Middle East escalation, suggesting traders are assigning greater weight to recovering supply flows and diplomacy.

However, AUD is being driven by increasingly hawkish RBA expectations after all four major Australian banks converged on a September rate hike to 4.60%.