Rate cut expectations weigh on Australian dollar

GROWING expectations of a rate cut next week have knocked the Australian dollar back below 76 US cents.

GROWING expectations of a rate cut next week have knocked the Australian dollar back below 76 US cents.

The local currency came close to a six-year low overnight, reaching 75.91 US cents as falling iron ore prices fuelled expectations the Reserve Bank will cut rates on Tuesday.

At 0630 AEDT on Wednesday, the local currency was trading at 76.12 US cents, down from 76.32 cents on Tuesday.

CURRENCY SNAPSHOT AT 0630 AEDT ON WEDNESDAY

One Australian dollar buys:

* 76.12 US cents, from 76.32 cents on Tuesday

* 91.26 Japanese yen, from 91.64 yen

* 70.83 euro cents, from 70.80 euro cents

(*Closes taken at 1700 AEDT previous local session) Source: IRESS

Originally published as Rate cut expectations weigh on Australian dollar