AUD/USD
Archived analysis from Jul 20, 2026, 5:23 AM
The 0.7000 level is the pivotal battleground: a sustained daily close above it opens the door to 0.7120, but geopolitical risk premium from the US-Iran conflict and residual USD resilience make a decisive break far from certain.
AUD/USD is consolidating at the key 0.7000 psychological round number — a three-week high — as USD weakness from soft US CPI supports the Aussie, but escalating Middle East conflict and risk-off geopolitical pressure cap further gains.
Main Risk
US-Iran escalation & Strait of Hormuz oil shock
US strikes on Iranian coastal assets and a naval blockade have sent Brent crude surging ~17% over two weeks, threatening to reignite global inflation and force central banks to hold rates higher for longer, which would weigh on risk-sensitive AUD.