The Australian Dollar weakens after experts predict the Reserve Bank of Australia will cut interest rates rather than raise them.
The Australian Dollar (AUD) fell 0.25% to near 0.7010 against the US Dollar during European trading on Wednesday. The decline follows growing consensus among analysts that the Reserve Bank of Australia’s next policy move will be an interest-rate cut, not a hike.
Market expectations have shifted after recent economic data pointed to softer inflation and weaker-than-expected growth. The RBA held rates steady in its last meeting, but analysts now see easing as more likely in the coming months.
The AUD underperformed against major currency pairs, reflecting investor sentiment toward a potential policy pivot.