• Australian Dollar strengthened in response to the increase in the S&P/ASX 200 Index.
• Australian capital market surged to new record highs, buoyed by gains in Wall Street overnight.
• Chinese Manufacturing PMI declined to 49.1 and Non-Manufacturing PMI improved to 51.4 in February.
• US Dollar Index (DXY) maintains stability amid the improved US Treasury yields.

The Australian Dollar (AUD) remains in positive territory on Friday, buoyed by a rise in the S&P/ASX 200 Index to new record highs, coupled with gains in Wall Street overnight. However, the AUD/USD pair saw some retracement on Thursday as the US Dollar (USD) strengthened following the release of the Federal Reserve's preferred inflation gauge, the US Personal Consumption Expenditures - Price Index, which met expectations.

Australian Dollar received a boost after the release of Australia's Retail Sales and Private Capital Expenditure data on Thursday. Additionally, the Judo Bank Manufacturing PMI indicated a slight improvement in Australia's manufacturing sector, with the February reading rising to 47.8 from 47.7 in the previous period.

The US Dollar Index (DXY) remains stable with the uptick in US Treasury yields. The delay in expectations for the Federal Reserve's first rate cut, prompted by recent Gross Domestic Product (GDP) data from the United States (US), has lent support to the Greenback. Investors are now turning their attention to the final US S&P Global Manufacturing PMI for February, which is due to be released on Friday.