AUD Reaches Seven-Week High on Global Risk Appetite

The Australian dollar has reached a seven-week high, trading above $0.70 due to improving global risk appetite and broad US dollar weakness.

Australia's private sector saw further momentum in July, with the composite PMI revised up to 53.2, its highest since January, driven by a six-month high in services activity and a return to manufacturing growth.

Stronger-than-expected household spending reinforced signs of resilient domestic demand, but markets have priced out almost any chance of a rate hike from the Reserve Bank at its policy meeting next week.