Money Aussie dollar eyes off 79 US cents

07:26  05 january  2018
07:26  05 january  2018 Source:   MSN

Australia, New Zealand dollars near multi-week peak on metals, carry trades

  Australia, New Zealand dollars near multi-week peak on metals, carry trades By Swati Pandey

The Aussie dollar has stayed at two-year highs.Source:istock. The Aussie also made gains against the Japanese yen and the euro. One australian dollar buys: * 79 .54 US cents , up from 79 .22 on Wednesday.

The Australian dollar has jumped on Wednesday after building approvals and construction data were sharply higher than predictions. Better than expected economic figures drove the Aussie higher, sending it as high as 79 .93 US cents .

a group of people standing in a room: Worrying predictions wages and jobs could plummet© Provided by Nine Digital Pty Ltd Worrying predictions wages and jobs could plummet

The Australian dollar has rebounded against a rallying US dollar, supported by strong iron ore prices.

At 0635 AEDT on Thursday, the Australian dollar was worth 78.32 US cents, up from 78.22 US cents on Wednesday.

The US dollar's gains accelerated after data showed US construction spending rose 0.8 per cent in November to an all-time high of $US1.257 trillion, driven by a surge in investment in private residential and non-residential projects.

At the same time, a US manufacturing index as measured by the Institute for Supply Management rose to 59.7 in December, beating market expectations, Reuters reported.

Australia, New Zealand dollars underpinned by upbeat China manufacturing activity

  Australia, New Zealand dollars underpinned by upbeat China manufacturing activity <p>The Australian and New Zealand dollars held firm on Tuesday as an unexpectedly upbeat survey of Chinese manufacturing activity and broad softness in their U.S. counterpart augured well for Antipodean commodity exports.</p>The Aussie dollar (AUD=D4) made a two-month top of $0.7827 before running into resistance. The next chart targets are $0.7884 and $0.7898, both peaks from October. The kiwi held at $0.7102 (NZD=D4), just off last week's high at $0.7124.

The Aussie dollar though has received a boost from the latest RBA Board Minutes. The local currency was worth 78.64 US cents at 1200 AEST, its highest level since May 2015, after soaring on the release of minutes from the RBA’s July monetary policy meeting.

The Australian dollar enjoyed mixed fortunes through trade on Thursday advancing early on stronger than anticipated labour market date before renewed U . S dollar strength forced the currency back below 0. 79 U . S cents . Moving lower through offshore trade the Aussie broke below 0. 79 on renewed

The greenback bounced 0.3 per cent on the day to 92.10 after falling 2.5 per cent over the last three weeks.

JP Morgan's Niall O'Connor on Thursday said the rallies for the antipodeans had taken on a "clear, impulsive bias following last month's reversals from important support levels".

"For AUD/USD, the focus is now on the .7880/.7910 resistance zone which includes the mid-October high and will define whether a more sustained bullish shift can develop," he said in a morning note.

The Aussie dollar has also rebounded against the yen and the euro.


One Australian dollar buys:

* 78.32 US cents, from 78.22 on Wednesday

* 88.12 Japanese yen, from 87.82 yen

* 65.18 euro cents, from 64.87 euro cents

(*Currency closes taken at 1700 AEDT previous local session)

The Aussie dollar has been flying over the past month, but the NAB says turbulence is on the way .
The Australian dollar has been on the charge over the past month, rallying by over 5% against the US dollar. The AUD/USD briefly traded above 79 cents earlier today, the highest level that it's ventured since late September. © Provided by Business Insider Inc So, what's been driving this sudden and spectacular revival, seeing it lift from 75 cents to 79 cents in little over a month?To the National Australia Bank (NAB), almost all of the strength has been due to one single factor: stronger commodity prices."Since December 8, the rise in our fair value estimate...

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