The Australian Dollar retreated against the US Dollar after rising US Treasury yields increased the appeal of dollar-denominated assets and outweighed stronger-than-expected Chinese manufacturing data. The move pushed AUD/USD lower from its recent trading range, underscoring how US interest-rate expectations are currently dominating regional economic signals. China’s latest PMI data pointed to resilient manufacturing activity, a development that would normally support the Australian Dollar because China is Australia’s largest trading partner and accounts for more than a third of its goods exports. The report did not provide a publication date or a numerical reading for the latest PMI or AUD/USD move. An earlier record on March 2026 data described a mixed release, with manufacturing PMI at 50.5 and non-manufacturing PMI at 50.8, after the pair initially rose to 0.6585 before trading around 0.6570, down about 0.2%. The Australian Dollar also remains sensitive to expectations for possible Reserve Bank of Australia rate cuts later this year, while a hawkish Federal Reserve stance and higher US yields support the US Dollar. Traders are focused on US inflation and employment data, Federal Reserve officials’ remarks, including non-farm payrolls, and further Chinese releases for direction. Support was previously identified around 0.6500, with resistance near 0.6600.