Australian Dollar futures fell toward 50-day moving average.

Australian Dollar futures moved lower during the session, marking a decline in three out of the last four days and testing key support near the 50-day moving average. The currency traded within a defined six-session sideways channel between roughly 0.7095 and 0.7179, closing just short of 0.5% lower. This price action follows the Reserve Bank of Australia's decision to bring the cash rate to 4.35% after a 25 bps hike in May. Economists now project that interest rates will remain on hold for the rest of 2026 as policymakers observe how regional developments impact domestic inflation. Additionally, analysts highlight an indirect vulnerability linked to the Chinese yuan, noting that approximately 800 billion in investor positions could unwind as global volatility subsides, shifting safe-haven demand and impacting currency trends.