Dollar lower at noon due to profit-takers

THE dollar was trading US0.75c lower at noon today.

THE dollar was trading US0.75c lower at noon today.

At midday (AEDT), the local unit was trading at US98.44c, down from yesterday's close of US99.18c.

Since 7am today, the local unit traded in a range between US98.22c  and US98.72c.

The local unit opened over US0.5c lower this morning after currency traders took profits on overnight highs. It continued to lose ground throughout morning trade.

Citigroup director Paul Brennan said the Aussie dollar was well supported against other currencies overall.

"The Reserve Bank continues to point to very strong commodity prices and terms of trade," Mr Brennan said.

"So globally, Australia continues to remain very attractive because of that, relative to other countries with sovereign debt problems."

Meanwhile, the bond market was weaker at noon.

At midday on the ASX 24, the December 10-year bond futures contract was at 94.435 (implying a yield of 5.565 per cent), down from yesterday's close of 94.535 (5.465 per cent).

The December three-year bond futures contract was at 94.960 (5.040 per cent), down from yesterday's close of 95.010 (4.990 per cent).