AUD/USD Rises on Slower-Inflation Surprise

The AUD/USD exchange rate rose by 0.19% to 0.7174 after data from the Australian Bureau of Statistics revealed that inflation slowed down more than expected in July.

Headline inflation decelerated to 3.5%, which was slower than the 3.3% consensus forecast by analysts.

The Reserve Bank of Australia may adopt a neutral stance at its upcoming monetary policy decision, balancing the easing of underlying inflationary pressures with softening in the employment sector.

Australia's unemployment rate rose to 4.5%, while the central bank maintains its benchmark interest rate at 4.35%, its highest level in a decade.