The Australian dollar paired with the US dollar is gaining strength on Tuesday. The current AUDUSD exchange rate stands at 0.6593.
Morning statistics from Australia revealed a mixed picture. The Westpac consumer sentiment index rose by 2.7% in December, rebounding from a previous decline of 2.6%. This is good news and is likely based on a slowdown in inflation.
However, the NAB business confidence index dropped to -9 points in November from the previous -3 points. This seems unusual, especially amid the peak business season in Australia.
Overall, the AUD is undoubtedly capitalising on a pause in the USD strengthening process and is stabilising its position.