• The Australian Dollar rises on risk-on sentiment after softer US jobs data released on Friday.
• The Australian Dollar received strength from the hawkish sentiment surrounding the RBA.
• The Nonfarm Payrolls report indicated fewer jobs added than anticipated in April, marking a notable deceleration from March’s reading.

The Australian Dollar (AUD) maintained its winning streak for the fourth consecutive session on Monday, buoyed by a hawkish sentiment surrounding the Reserve Bank of Australia (RBA). This optimism bolsters the strength of the Aussie Dollar, providing support to the AUD/USD pair.

The Australian central bank is widely anticipated to hold the cash rate steady at a 12-year high of 4.35% in its upcoming Tuesday meeting. However, there are expectations that it may reintroduce a soft tightening bias, particularly after last week's higher-than-expected inflation data, as reported by The Australian Financial Review.

The US Dollar Index (DXY), which gauges the performance of the US Dollar (USD) against six major currencies, remains under pressure due to softer-than-expected US jobs data released on Friday. This development revived hopes for potential interest rate cuts by the US Federal Reserve (Fed) later this year. The prevalent risk appetite could continue this week following Fed Chair Jerome Powell's relatively dovish stance on the monetary policy outlook during Wednesday's session.