• AUD/USD experiences an extended decline following release of labor market figures from Australia during Asian session.
• Federal Reserve's projection of higher interest rates continues to favor USD.
• Despite clearing some losses, US Treasury yields remain down by more than 2%.

The Australian Dollar (AUD) fell further against the US Dollar (USD) on Thursday despite strong labor market data from Australia reported earlier in the session. The US seems to be enjoying demand thanks to the interest rate revisions, which saw the Federal Reserve (Fed) governors forecasting fewer rate cuts this year. In addition, the Greenback kept its strength despite soft inflation figures reported during the European session.

The Australian economy shows some signs of weakness, but the stubbornly high inflation is prompting the Reserve Bank of Australia to delay cuts, which may limit the downside.