AUD Surges as Treasury Buyback Offset Hawkish Fed Minutes

The Australian Dollar has strengthened against the US Dollar by over 0.56%, despite hawkish Federal Reserve minutes from the July meeting.

This gain is attributed to a US Treasury bond buyback, aimed at offsetting elevated yields caused by the ongoing US-Iran war and its impact on global oil prices.

The program will see the Treasury double long-end bonds purchases from 2 billion to at least 4 billion between September 9 and November 4, in an effort to influence the yield curve.