14.04.202502:55:35UTC+00Australian Dollar Gains for 4th Straight Session

The Australian dollar strengthened to approximately $0.63 on Monday, recording its fourth straight session of gains. This uptick followed US President Donald Trump's decision to exclude critical technology products from his newly proposed "reciprocal" tariffs. This move has positively impacted global risk sentiment. The exempted products, which are predominantly manufactured in China, include smartphones, computers, semiconductors, solar cells, and flat-panel displays. China's Ministry of Commerce has labeled these exemptions as a "small step" forward, though it continues to press the US to fully remove the extensive 145% levy imposed on Chinese goods. Given that China is Australia's largest trading partner and a significant purchaser of Australian commodities, the Australian dollar is particularly sensitive to the dynamics of US-China trade relations. Domestically, uncertainty persists regarding the timing of the Reserve Bank of Australia's forthcoming interest rate cut, as trade-related risks continue to obscure the economic outlook. Market projections currently anticipate a 25-basis point cut in May, with an estimated total easing of around 120 basis points throughout the year.