FX.co ★ Australian Dollar Holds Gains

On Tuesday, the Australian dollar maintained its position around $0.651, buoyed by optimism surrounding advancements in high-level trade negotiations between the United States and China. U.S. Treasury Secretary Scott Bessent led the American delegation in discussions with Chinese Vice Premier He Lifeng and his team in London, where the focus was on rare earth exports and the potential easing of trade restrictions. These discussions, scheduled to continue throughout Tuesday, were announced last week after a long-awaited call between U.S. President Donald Trump and Chinese President Xi Jinping, following last month’s trade agreement in Switzerland. In Australia, consumer sentiment increased for the fourth time this year. The Westpac-Melbourne Institute Consumer Sentiment Index rose by 0.5% month-over-month, reaching 92.6 in June. Concurrently, business confidence saw an upswing, with the NAB Business Confidence Index climbing to 2 in May from -1 in the previous month. This marks the first time it turned positive since January and the highest level it has reached in four months.