Aussie dollar continues to climb

THE Australian dollar has continued to climb against its US counterpart, which has fallen for a second straight day, thanks to the rebounding iron ore price.

The local currency has continued to benefit from higher commodity prices.

THE Australian dollar has continued to climb against its US counterpart, which has fallen for a second straight day, thanks to the rebounding iron ore price.

Westpac’s Imre Speizer said the US dollar had fallen, along with equities, despite little fresh news to drive moves, to a nine-month low. Meanwhile, the local currency had continued to benefit from higher commodity prices.

“AUD performed well, helped by a persistent rebound in iron ore prices (+3.8 per cent yesterday to $US64.71, a total gain of 21 per cent since 13 June), as well as increasing expectations the Reserve Bank of Australia’s next move is likely to be a hike rather than a cut,” Mr Speizer said in a morning note.

At 0635 AEST on Friday, the Australian dollar was worth 76.80 US cents, up from 76.64 US cents on Thursday. The local currency has barely moved against the yen and is down marginally against the euro.

CURRENCY SNAPSHOT AT 0635 AEST ON FRIDAY

One Australian dollar buys:

* 76.80 US cents, from 76.64 on Thursday

* 86.10 Japanese yen, from 86.07 yen

* 67.13 euro cents, from 67.18 euro cents

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

Originally published as Aussie dollar continues to climb