The Australian dollar traded near a six-month high of 0.6761, buoyed by expectations that the Reserve Bank of Australia might delay the global rate-cutting cycle or raise rates again due to strong May inflation data.

Australia's 10-year government bond yield remains near 4.4%, attracting foreign investors seeking protection from political uncertainties.

The AUD gains ground as the US dollar struggles with soft employment data, fueling speculation of a potential Federal Reserve rate cut in September 2023.