"If repatriation is the sole cause, why is the AUD rallying vs the USD despite a decline in interest rate?"
What rally are you talking about the Aussie/USD has been trading in a narrow band for a few months now?
Most of the repatriation has now occured and the swings you now see in currency markets are due to illiquidity and minor investment speculation. Hence when people were expecting a higher rate cut a small uptick in the Aussie was justified.
