• The Australian Dollar rises on hawkish sentiment surrounding the RBA prolonging higher interest rates.
• Australia’s central bank is expected to maintain its current rate at 4.35% until the end of September.
• US Nonfarm Payrolls is expected to print a reading of 243K for April, compared to 303K prior.

The Australian Dollar (AUD) continues its winning streak for the third successive session on Friday. The hawkish sentiment surrounding the Reserve Bank of Australia (RBA) bolsters the strength of the Aussie Dollar, consequently, underpinning the AUD/USD pair.

Australia’s central bank is expected to maintain its key policy rate at 4.35% for a fourth consecutive meeting on Tuesday, and likely until the end of September, as per a Reuters poll of economists. These economists predict only one interest rate cut this year. The higher-than-expected domestic inflation data released last week has raised expectations that the RBA may delay interest rate cuts.

The US Dollar Index (DXY), which gauges the performance of the US Dollar (USD) against six major currencies, remains under pressure following the dovish comments from US Federal Reserve (Fed) Chairman Jerome Powell after Wednesday's decision to maintain interest rate range of 5.25%-5.50%. Powell's dismissal of the possibility of another rate hike has contributed to the USD's weakening.

Market attention has now turned to the US employment data for April, scheduled for later on Friday, which includes Average Hourly Earnings, Nonfarm Payrolls, and ISM Services PMI. These releases are expected to offer additional insights into the condition of the United States (US) economy.