Free Subscription

  • Access daily briefings and unlimited news articles

Premium

Only $34.95 per year
  • Quarterly magazine and digital
  • Indepth executive interviews
  • Unlimited news and insights
  • Expert opinion and analysis

Aussie dollar rises

Dollar30The Australian dollar is higher against its US counterpart, recouping the losses it suffered in its previous onshore session as the greenback’s tax-plan inspired gains were partly forfeited.

At 0635 AEST on Friday, the Australian dollar was worth 78.56 US cents, up from 78.13 US cents on Thursday.

Westpac’s Imre Speizer says the US dollar’s positive reaction to President Donald Trump’s tax plan and expectations of a December Federal Reserve interest rate rise had dissipated.

“The US dollar index is down 0.3 per cent on the day…. (while the) AUD rose from 0.7800 to 0.7860 … (and the) AUD/NZD consolidated between 1.0845 and 1.0890,” he said in a morning note.

Iron ore had also fallen, losing around two per cent on the day, to be down 20 in September, he added.

The main local event risk on Friday would be Australia’s August private sector credit data.

“(It) is expected to rise 0.5 per cent, but Westpac sees a smaller increase of 0.4 per cent as housing credit gradually slows while business credit posts another modest gain.”

Also, regionally, China’s September Caixin manufacturing PMI is out ahead of official National PMIs on Saturday.

Speizer said the local currency would likely consolidate just above 78.00 US cents, “following its three cent fall this month”.

The Aussie dollar is is also higher against the euro and hardly changed against the yen.

You have 3 free articles.