The Australian dollar dipped to around $0.67 on Friday but hovered near its highest level since early November 2024 and was still on track for its best week since April, supported by improved risk appetite on growing expectations of US rate cuts. US data showed steady inflation in August, while jobless claims signaled labor market weakness. Meanwhile, stronger metal prices, particularly gold and silver, lent support to the commodity-linked currency. Domestically, consumer inflation expectations picked up in September after easing to a recent low in the previous month, signaling firmer demand and renewed inflation concerns. RBA Governor Michele Bullock noted signs of “a little bit more growth” in the private sector, describing it as a positive development for the economy. This reinforced the RBA’s cautious stance and market bets it will hold rates steady later this month. Investors now await labor data due next week for further guidance to monetary policy.