The Australian dollar is lower against its US counterpart which has been unable to sustain a rise in the US session.
At 0635 AEDT on Tuesday, the Australian dollar was worth 78.52 US cents, down from 78.78 US cents on Monday.
US equities markets, but that risk appetite ultimately did not help the US dollar which had a changeable offshore session.
The greenback dipped early in the European trading session, then edged higher as investors bet the new head of the US Federal Reserve would steer a steady course on monetary policy when he addresses lawmakers this week.
But came off its highs to be little changed toward the end of the US session.
Westpac’s Imre Speizer says while risk appetite had returned to US equities markets, but not to the US dollar.
‘The USD index is unchanged on the day, after dipping during the European morning,’ he said in a Tuesday morning note.
‘(While the) AUD made a round-trip from 0.7830 to 0.7893 and back.’
Domestically, there are no major event risks for the local currency on Tuesday, with Mr Speizer expecting the Australian dollar to remain moving between 78 and 79 US cents.
The Aussie dollar is also lower against the euro but up slightly against the yen.
CURRENCY SNAPSHOT AT 0635 AEDT ON TUESDAY
One Australian dollar buys:
* 78.52 US cents, from 78.78 on Monday
* 83.99 Japanese yen, from 83.92 yen
* 63.78 euro cents, from 63.91 euro cents
(*Currency closes taken at 1700 AEDT previous local session)