The Australian dollar steadied around $0.652 on Monday, as investors cautiously awaited the Reserve Bank of Australia's monetary policy decision due on Tuesday. Markets broadly expect a 25 basis point rate cut to 3.60% at the August meeting, amid softer-than-expected Q2 inflation and a rise in the unemployment rate to its highest level in three and a half years. This follows the RBA’s unexpected decision in July to keep the cash rate unchanged at 3.85%, citing a more balanced assessment of inflation risks and continued resilience in the labor market. However, uncertainty remains as RBA Governor Michele Bullock reiterated that the central bank would no longer provide forward guidance, emphasizing that rate decisions are made solely by the board and cannot be anticipated in advance. Externally, the Australian dollar found partial support from a weakening greenback ahead of Tuesday’s US inflation data and the looming August 12 US-China tariff truce deadline.