The Australian dollar has hit a two-and-a-half-week high, getting a boost from higher commodity prices and a rally on stock markets.
At 0700 AEST on Wednesday, the local unit was trading at 71.44 US cents, up from 71.15 cents on Tuesday.
On Tuesday evening, it peaked at 71.67 US cents, its highest level since August 28.
RBC senior currency strategist Greg Moore said the Australian dollar was benefiting from a more optimistic market mood, with traders more willing to move into riskier assets.
“A rally in the US dollar started on US data releases that were overall solid,” he said.
“Commodity currencies managed to outperform, with the New Zealand dollar, the Canadian dollar and the Australian dollar the top performers, retracing yesterday’s losses.”
US retail sales rose 0.2 per cent in August, but slightly below market forecasts. US industrial production for August was also short of expectations.
Via The Age
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