Aussie Plunges to 11-Week Low as US Dollar Surges

The Australian dollar has fallen to an eleven-week low of around $0.69 as the US dollar strengthened due to surging Treasury yields.

Investors have trimmed their bets on another near-term rate hike from the Reserve Bank of Australia (RBA), with markets now seeing a 20% chance in November, down from 36% previously.

The next RBA rate increase is now more likely to occur in March rather than February, according to market expectations.

Australia's trade data also weighed on the Australian dollar, as the trade surplus narrowed to its smallest in three months.