Institution: If the RBA continues to suspend interest rate hikes, Australia/US risks falling below this position

Philip Wee, FX strategist at DBS Bank, said that if upcoming economic data, the minutes of the RBA’s August meeting and speeches from the incoming central bank governor this month suggest that the central bank will pause interest rate cuts for the third time at the September meeting, the Australian dollar will Against the dollar may fall below 0.65.

He said the Australian dollar had been struggling after the Reserve Bank of Australia unexpectedly decided to keep the cash rate unchanged at 4.10% for a second month in a row to assess the impact of previous rate hikes.

He noted that AUD/USD fell below 0.66 for the fifth straight session on Monday. The pair is currently trading around 0.8% lower on the day around 0.6515.