Australian dollar flat on China

THE Australian dollar is flat, pulled in opposite directions by easing worries about China’s currency devaluations, and falling commodity prices.

THE Australian dollar is flat, pulled in opposite directions by easing worries about China’s currency devaluations, and falling commodity prices.

At 0700 AEST on Friday, the local unit was trading at 73.61 US cents, slightly down from 73.62 cents on Thursday.

Bank of New Zealand strategist Kymberly Martin said the Australian dollar was weighed down by falling oil and gold prices. “The Australian dollar sits a little lower this morning, on the backdrop of the broadbased declines in commodity prices,” she said.

“It was a calmer night for markets as they appear to be adapting to the new yuan fixing regime, and trans-Atlantic data delivery failed to provide any significant surprises. However commodity prices have continued to subside.” On Friday, Reserve Bank assistant governor for economics Christopher Kent gives a speech on recent labour market developments at an Economic Society of Australia lunch in Brisbane.

CURRENCY SNAPSHOT AT 0700 AEST ON FRIDAY

One Australian dollar buys:

* 73.61 US cents, from 73.62 cents on Thursday

* 91.60 Japanese yen, from 91.66 yen

* 66.03 euro cents, from 66.18 euro cents

* 112.03 New Zealand cents, from 111.56 NZ cents

* 47.15 British pence, from 47.13 pence

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

Source: IRESS