SINGAPORE, June 7 Reuters The dollar wobbled on Wednesday as expectations of a rate hike by the Federal Reserve next week receded, though currency moves were subdued as traders contemplated whether an end to the global monetary policy tightening cycle was near.

The Aussie scaled a fresh threeweek high in the wake of a rate increase and a decidedly hawkish stance by its central bank, peaking at 0.6690 in early Asia trade.

The antipodean currency was last 0.12 higher at 0.6680, holding on to most of the previous session39;s 0.8 gain, after the Reserve Bank of Australia RBA raised interest rates by a quarterpoint to an 11year high on Tuesday.

In a speech on Wednesday, RBA Governor Philip Lowe stepped up a warning of more rate hikes ahead to temper rising price pressures, even as risk of a steep economic downturn heightens with data showing GDP expanded at its weakest pace in 112 years last quarter.

The cash rate is now 4.1, which we think is in a deeply restrictive territory, so that obviously means that the risk of a hard landing in the Australian economy has increased, said Carol Kong, a currency strategist at Commonwealth Bank of Australia.

Similarly, rising expectations that the Bank of Canada BoC could resume its tightening campaign at an interest rate decision later on Wednesday sent the Canadian dollar to a near onemonth high of C1.3388 to the greenback.

The BoC was the first major global central bank to pause its ratehike campaign in January.

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