AUD/USD drops 0.42% after RBA holds cash rate at 4.35%, adopting a dovish tone in its statement.
Markets react quickly, adjusting to RBA's shift from a neutral to a slightly dovish stance due to slow cooling inflation.
US Dollar gains strength after Minneapolis Fed President Kashkari suggests possible rate hikes if inflation persists.
The Australian Dollar registered losses of around 0.42% against the US Dollar on Tuesday, following the Reserve Bank of Australia’s (RBA) monetary policy decision to keep rates unchanged. However, it was perceived as a dovish decision. Therefore, the AUD/USD finished the session near the day's lows, and as Wednesday's Asian session began, it traded at 0.6591, down 0.09%.
