The Australian dollar rose 1% over the week, including a 0.4% gain on Friday, and broke above the 0.7150 resistance level as a sustained US Treasury selloff weakened the greenback. The Dollar Spot Index fell 0.2% to about 98.74 and was headed for a weekly decline of nearly 1%, despite the US Treasury doubling planned purchases of long-dated debt to at least $4 billion per operation from September. Investors refocused on rising borrowing costs, federal borrowing and gross national debt above $40 trillion; the 10-year Treasury yield returned to 4.70% and the 30-year yield hovered near 5.25%. Softer US inflation and employment data also reduced Federal Reserve rate-hike expectations. AUD/USD gained additional support from iron ore and coal prices, improved risk sentiment and the Reserve Bank of Australia’s relatively hawkish stance, although June employment fell 15,800 and unemployment rose to 4.5%.