‘Aussie’ and ‘Kiwi’ slump as a result of declining Asian stocks and local developments.
The Australian Dollar exchange rate was trading in the region of 1.0236 against the US Dollar as of 09:50 am GMT
The New Zealand Dollar exchange rate was trading in the region of 0.8339 against the US Dollar as of 09:51 am GMT
After gaining yesterday in response to unexpectedly positive Reserve Bank of Australia policy meeting minutes and an Australian Bureau of Statistics report, which showed that the Australian wage price index was up a seasonally adjusted 0.8 per cent in the fourth quarter of 2012, the ‘Aussie’ fell in the face of less positive Asian news.
As Asian stocks slumped investor appetite for higher-yielding assets like the Australian Dollar declined, and the ‘Aussie’ followed suit.
Against safe-haven rival the US Dollar the ‘Aussie’ shed 1 per cent, its most significant drop for almost four-weeks. The Australian Dollar was pushed lower against its American counterpart as the latest FOMC policy meeting minutes indicated a possible slowing of quantitative easing in the US.
The ‘Aussie’ also lost ground against the Yen as news that China is attempting to restrain real estate speculation was published.
The New Zealand Dollar experienced similar losses to its fellow South Pacific currency, also in response to falling Asian stocks and Chinese news.
The New Zealand Dollar’s losses were exacerbated by the Reserve Bank of New Zealand’s assertion that it is ready to step in and curb the currencies gains, and the ‘Kiwi’ shed 1.3 per cent against the US Dollar while hitting a week low against its Australian counterpart.
As one Sydney-based industry expert commented: ‘There’s a bit of negative risk sentiment out there, so Aussie and Kiwi have come under some pressure. We expect them to bounce back over the next week or so.’
Some foreign-exchange strategists have predicted that the New Zealand Dollar’s recent drop against the ‘Aussie’ could mark a ‘shift in the fortunes of the currency pair’.
Current AUD Exchange Rates
The Australian Dollar to Euro exchange rate is trading at 0.7751
The Australian Dollar to US Dollar (AUD/USD) exchange rate is trading at 1.0236
The Australian Dollar to Pound Sterling (AUD/GBP) exchange rate is trading at 0.6727
The Australian Dollar to New Zealand Dollar (AUD/NZD) exchange rate is trading at 1.2278
The Australian Dollar to Canadian Dollar (AUD/CAD) exchange rate is trading at 1.0428
The Australian Dollar to Japanese Yen (AUD/JPY) exchange rate is trading at 95.5522
These exchange rates were correct as of 09:50 am GMT
Current NZD Exchange Rates
The New Zealand Dollar to Euro (NZD/EUR) exchange rate is trading at 0.6312
The New Zealand Dollar to Pound Sterling (NZD/GBP) exchange rate is trading at 0.5486
The New Zealand Dollar to US Dollar (NZD/USD) exchange rate is trading at 0.8339
The New Zealand Dollar to Australian Dollar (NZD/AUD) exchange rate is trading at 0.8146
The New Zealand Dollar to Canadian Dollar (NZD/CAD) exchange rate is trading at 0.8484
The New Zealand Dollar to Japanese Yen (NZD/JPY) exchange rate is trading at 77.9006
These exchange rates were correct as of 09:51 am
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