Australia's dollar weakened against every Group-of-10 currency after data showed inflation in the nation cooled more than expected in May, prompting traders to dial down on rate hike bets.
AUD/USD fell as much as 1% to 0.6619 after May consumer prices climbed 5.6%, slower than the forecast of 6.1% gain. Australia's three year bond yield slipped seven basis points to 3.86%.
"The Aussie is extending declines after the headline monthly CPI miss," said Rodrigo Catril, strategist at National Australia Bank Ltd. Still "for the Reserve bank of Australia what matters is the core reading and that is still looking sticky".
The Bloomberg Dollar Spot Index rose 0.2% while 10-year US Treasury yields fell one basis point to 3.76%.
Source : Bloomberg
