The surprising strength prompted markets to scale back bets for an easing from the Reserve Bank of Australia in February, just days after the central bank unexpectedly turned dovish by opening the door to a rate cut.
The Australian dollar rose 0.6 percent to $0.6409, while three-year bond futures fell 7 ticks to 96.192. Swaps now imply a 55-percent chance of a cut in February, compared with 68 percent before.
