Australian Dollar Monthly

The Australian dollar fell against the US dollar for the third month in a row in December, closing the month at its lowest level since the pandemic selloff in early 2020.

The Australian dollar was middle of the road among the G10 trading currencies in November and posted its second monthly loss in a row against the greenback.

The Australian dollar was one of the weakest members of the G10 currency basket in October, ahead of only the New Zealand dollar and Japanese yen. The Aussie’s fall came despite pricing for the first RBA cash rate cut being pushed back to the second quarter of next year.

After a weak start to the month, the Australian dollar was the best performer of the G10 trading currencies during September. The Aussie fell early in September amid faltering risk appetite, as soft US employment data raised concerns that the US economy could be slowing more sharply than expected.

The Australian dollar climbed against all of the big four currencies and almost all of the currencies in the G10 trading basket, except for the New Zealand dollar and Swedish krona.

The Aussie dollar had its first monthly fall against the greenback since April, losing 1.9% in July. The decline came despite the US dollar also showing some weakness during the month. The US dollar index, which values the big dollar against a basket of major currencies, declined by 1.7% in July.