The Australian and New Zealand dollars extended their losing streaks on March 30 as the intensifying Middle East conflict fueled global growth concerns, driving investors toward the safety of the US greenback.
The Aussie fell 0.3% to $0.6851, marking its seventh consecutive decline and hitting its lowest level since late January.
Technical analysts warn that having breached key support at $0.6897, the currency now risks a further retreat toward $0.6700.
Similarly, the Kiwi dollar slipped 0.3% to $0.5734, its fifth straight daily loss, as markets recalibrate for a prolonged period of geopolitical instability.
The economic outlook "Down Under" has darkened as Brent crude futures rose 3% to $116 a barrel following Houthi attacks on Israel and fears of a land assault in the region.
The energy shock prompted HSBC analysts to forecast a contraction in Australia’s economy for the second quarter, citing the dual pressures of high fuel prices and recent interest rate hikes.
Prime Minister Anthony Albanese announced a temporary 50% cut to the fuel excise, providing a 26.3 cent per litre reprieve for motorists.
As the RBA prepares to release its March meeting minutes on March 31, the focus shifts to how policymakers will balance stubborn inflation against a rapidly cooling domestic economy and a fragile global landscape.