$A weakens as sellers expect rate cuts The Australian dollar is weaker as traders continue to sell in the absence of any good news on the local economy. At 1200 AEST on Wednesday, the Australian dollar was trading at 94.69 US cents, down from 94.92 cents on Tuesday. Easy Forex currency dealer Tony Darvall said that while the US Federal Reserve meeting was dominating the news cycle, traders were offloading the Australian dollar on expectations of more rate cuts. "You don't need information to sell the Aussie," he said. Unless we get some good news out of China, or good news out of Australia that changes expectations on demand for Australian resources, then the story to sell the Aussie is the main one. With the US central bank's Federal Open Market Committee (FOMC) meeting underway, traders are expecting chairman Ben Bernanke to signal a dilution in the third round of bond buying, known as quantitative easing, or QE3. But, Mr Darvall said, the Australian dollar would only make gains on Thursday morning if Dr Bernanke signalled a delay in winding back QE3. "Bernanke will have to not talk about tapering or set the bar further away than people expect," he said. If that forecast is put back a little bit, then you may see the Aussie dollar gain. But everything will gain against the US dollar ... and even if it did gain, the Aussie dollar's lagging the rest of the market. Meanwhile, Australian bonds were weaker at noon. At 1200 AEST on Wednesday, the September 10-year bond futures contract was trading at 96.565 (implying a yield of 3.435 per cent), down from 96.600 (3.400 per cent) on Tuesday. The September three-year bond futures contract was at 97.430 (2.570 per cent), down from 97.440 (2.560 per cent).