AUD/USD Dips to 0.6500 as Inline US Retail Sales Strengthen USD

AUD/USD weakened ~0.3% to near 0.6500 on May 14 after US retail sales rose 0.3% m/m as expected, trimming Fed rate-cut odds and widening rate differentials amid softer Australian jobs data. The pair had plunged to 0.6480 on May 12 due to hot US CPI (headline +0.3% vs. 0.2% est., core +0.4%), NAB stagflation signals (costs to 4.5% q/q), and budget tightening risks with opposition vows to repeal tax reforms. It rebounded sharply to 0.7250 by May 13 on hawkish RBA, inline Q1 wages at 3.3% y/y, and iron ore above $100/tonne, but stayed range-bound per UOB before the latest USD rebound.