AUD Rebounds from 0.7000 as US Dollar Eases After Strong Week
The Australian Dollar rebounded from its near 0.7000 level on Friday as the US Dollar retreated after a strong week.
The US Dollar Index declined by 0.30% to 100.95, following rising US Treasury yields and increasing expectations of further tightening monetary policy by the Federal Reserve.
New York Fed President John Williams stated that it's reasonable to expect another rate increase by the end of the year, while Philadelphia Fed President Anna Paulson suggested modest additional increases might be necessary to bring inflation back toward the central bank's target.
The Trump-Xi summit provided limited support to the Australian Dollar despite conciliatory signals from both leaders. China is Australia's largest trading partner, and an improvement in relations between Washington and Beijing can generally support sentiment toward the Aussie.