Later today, US durable goods orders will likely influence US-Australian interest rate differentials and US dollar demand.
Better-than-expected orders would indicate a further pickup in demand, tempering expectations of a September Fed rate cut. A less dovish Fed rate path would widen the rate differential in favor of the US dollar, pushing AUD/USD toward $0.6550. Sustained selling pressure may expose the 50-day EMA.
However, a sharp drop in orders may suggest a weakening economic backdrop, supporting a Q3 Fed rate cut. A more dovish Fed rate path could narrow the rate differential and drive AUD/USD toward the $0.6650 level.
