The Australian dollar has risen to a fresh two-month high on the back of strong domestic building data.
At 1700 AEST on Tuesday, the Australian dollar was trading at 102.64 US cents, up from 102.25 cents on Monday, its strongest level against its US counterpart since early May.
It had risen to 81.88 Japanese yen, up from 81.37 yen, and to 81.43 euro cents, up from 81.03 cents.
The local currency rose after the notoriously volatile building approvals data series jumped by 27.3 per cent for the month of May compared to economists' expectations of a 5.1 per cent rise.
In the year to May, building approvals were up 9.3 per cent, the Australian Bureau of Statistics (ABS) said.
Economists said the figures were coming from a low base following several tough years and should not be taken as a sign the struggling sector has turned a corner.
The Reserve Bank of Australia's (RBA) decision to keep the cash rate on hold at 3.5 per cent had little effect on the currency as the lack of central bank action had been widely expected by the market.
Commonwealth Bank currency strategist Joseph Capurso said he expected the Australian dollar to trade within a tight range on Tuesday night.
"I think it's going to be quite stable tonight - it may move a bit lower but should remain close to the 102.50 (US cent) mark," he said.
"It doesn't have a great deal that could push it around overnight.
"The really important stuff such as (US non-farm) payrolls happens at the end of the week, although we have retail trade tomorrow which could have an impact."
Meanwhile, Australian bond futures prices were mixed at Tuesday's close.
Australian 10-year bond future prices rose after the RBA decision, following an earlier rise on Monday night.
At 1630 AEST on Tuesday, the September 10-year bond futures contract was trading at 96.940 (implying a yield of 3.060 per cent), up from 96.910 (3.090 per cent) on Monday.
The September three-year bond futures contract was at 97.520 (2.480 per cent), unchanged from Monday.
CMC chief market strategist Michael McCarthy said the central bank's decision to keep the cash rate steady at 3.5 per cent had led to a strengthening in the bond market.
"We've seen a bit of a U-turn, with a bit of a rally coming on," he said.
"I'm surprised because surely no one was expecting a rate cut.
"It could well be to do with the outlook on inflation driving some buying in the market at the moment.
"Obviously inflation is a key driver for bond traders, and with the outlook weak, and acknowledged as such by the RBA. They might be expecting a cut next month rather than later."
The Reserve Bank of Australia's trade weighted index was at 76.9, up from 76.7 on Monday.