AUD Surges on Rising Rate Hike Bets as NAB Forecasts September Increase

The Australian Dollar (AUD) continued its upward trend for the third consecutive day, trading around 0.7180 during Asian hours on Thursday.

This resilience in the AUD is largely due to rising expectations that the Reserve Bank of Australia (RBA) will deliver another interest rate hike.

Recent data showed a stronger-than-anticipated July inflation reading, which prompted financial institutions to adjust their policy outlooks.

National Australia Bank (NAB) now projects the RBA will lift its cash rate to 4.6% at the September meeting, while Commonwealth Bank and ANZ see the move occurring in November.