The Australian Dollar saw something of a rally in morning trade as investors went bargain hunting and as speculation increased that the currency’s run of losses which made it one of the worst performing currencies of 2013 has been overdone.
The currency briefly dipped against the Pound early in the session following the release of disappointing data out of China, Australia’s biggest trading partner.
According to the National Bureau of Statistics and the China Federation of Logistics and Planning, China’s non-manufacturing purchasing managers Index showed that output declined in December. The PMI came in at 54.6%, below November’s reading of 56%.
A figure above 50 indicates expansion, whilst a figure below indicates contraction.
The ‘Aussie’ then saw a rally as investors took advantage of the currency’s low level by embarking on a bout of buying which bolstered the currency. On a day of relatively light trade the buying was enough to push the ‘Aussie’ higher against most of its major peers.
“What seems to be happening today is a technical move; it seems to be very much a technical move in a market that has been caught short. People are buying the ‘Aussie’ on the cheap. It’s so indicative of a currency that’s just waiting for a catalyst to push it one way or another,” said a forex trader.
Against the Euro it strengthened by more than 1% and pushed higher by 0.90% against the US Dollar.
Current Australian Dollar Exchange (AUD) Rates
The Australian Dollar/US Dollar Exchange Rate is currently in the region of: 0. 8987
The Australian Dollar/Euro Exchange Rate is currently in the region of: 0.6586
The Australian Dollar/Pound Sterling Exchange Rate is currently in the region of: 0.5461
The Australian Dollar/ New Zealand Dollar Exchange Rate is currently in the region of: 1.0865
The US Dollar/Australian Dollar Exchange Rate is currently in the region of: 1.1265
The Euro/Australian Dollar Exchange Rate is currently in the region of: 1.5180
The Pound Sterling /Australian Dollar Exchange Rate is currently in the region of: 1.8307
The New Zealand Dollar/Australian Dollar Exchange Rate is currently in the region of: 0.9203
Correct as of 10:00 am GMT
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