[SYDNEY] The Australian dollar held its own on Thursday, despite the greenback hitting a seven-week high elsewhere, as optimism over global growth underpinned equities and commodity prices.
The Australian dollar stood at US$0.7658, down a slight 0.2 per cent.
It traded in a US$0.7605/0.7731 range for all of February, ending the month 0.9 per cent higher even as the US dollar index climbed 1.6 per cent in the period.
The Aussie also took in its stride domestic data showing a smaller-than-expected trade surplus of A$1.3 billion in January.
More important were Wednesday’s figures showing the economy turned around in the fourth quarter to extend its 25 years of uninterrupted expansion.
Surveys also showed China’s factory activity expanded at a fast pace in February, likely underpinning demand from Australia’s No 1 trading partner.
“Strong data with the higher-than-expected GDP, along with buoyant China PMI data has lent support to the AUD,” said Stephen Innes, senior trader at Oanda.
“Certainly, the AUD should remain firm on the crosses, which are still a favoured way for dealers to express their bullish Australia bias,” Mr Innes added.
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