Risk-Off Markets, AUD Hit
The Australian dollar (AUD) weakened against most G10 currencies after comments from RBA Deputy Governor Andrew Hauser dampened speculation of tighter policy in the near future. Hauser emphasized that the RBA tends to view inflation over a 1-2 year horizon, rather than overreacting to a single data release—causing the AUD to lose momentum.
Risk-off sentiment also weighed on the AUD, as weakening Asian equities prompted investors to seek safe-haven assets. The Asia-Pacific stock index was seen falling by around 0.8%, making the yen, Swiss franc, and US dollar relatively stable compared to riskier currencies.
AUD/USD weakened to 0.6698. Meanwhile, USD/JPY was around 156.59, and USD/CHF was around 0.7970.
On the US dollar side, the dollar index remained stable around 98.7, after strengthening in the last two sessions. The 10-year US Treasury yield also fell slightly and remained near 4.13%, keeping the dollar's movements from becoming too aggressive.
The market is now holding large positions while awaiting two key catalysts on Friday: the December Non-Farm Payrolls (NFP) release and a potential decision on global tariffs. In the G10, EUR/USD is stable around 1.1681, while GBP/USD is holding near 1.3460.
Source: Newsmaker.id
