US Dollar

The Australian dollar is soaring high, with the AUD/USD cross rate reaching a high of 94.94 US cents just after midnight Sydney time, topping the two year record achieved on Friday of 94.69 US cents. In the past three years, the Australian dollar had averaged at 84.6 US cents. The Australian dollar hasn’t seen these price levels since it reached a 24 year record in 2008.

At 7am (AEDT), the Aussie dollar was trading at US75.02¢ slightly below Friday's close of US75.19¢. And since Friday, it hit a low of US74.90¢ and a high of US75.45¢. Aussie dollar continues to trade within a tight range.

The US dollar fell in value as a result of a much weaker Gross Domestic Product (GDP) expansion rate of 1.1% annual rate as investors expected more. And so the US dollar was sold off. The the next figures to be received by the market was better than expected Personal Consumption Expenditures (PCE) component.

The Australian dollar opened slightly higher on Tuesday as the local unit continued to climb against a sagging US currency.

At 7am (AEDT), the local unit was trading at US75.44¢, higher than Monday's close of US75.33¢. During overnight trade, it reached a low of US75.04¢ and a high of US75.44¢.

At 7am (AEDT), the local unit was trading at US74.09¢, above Tuesday's close of US73.77¢. Overnight it reached a low of US73.39¢ and a high of US74.11¢.

Westpac's senior currency strategist in New York, Richard Franulovich, said the Australian dollar pushed higher overnight as the US dollar fell across the board.

A weaker than expected US manufacturing report drove the initial move lower in the US currency.

Australian Dollar Opened Weaker Today as investors continued to sell the local currency to support recent yen purchases: At 7am (AEDT), the local unit was trading at US74.30¢, below Friday's close of US74.60¢. In the weekend's trade, it hit a high of US74.79¢ and a low of US74.20¢.