Dollar scrapes above 75 US cents

THE Australian dollar has crept higher against its US counterpart to a slither above 75 US cents.

THE Australian dollar has crept higher against its US counterpart to a slither above 75 US cents. At 0635 AEST on Tuesday, the Australian dollar was worth 75.01 US cents, up from 74.88 US cents on Monday.

The dollar has fallen as US Treasury yields have dipped and traders consolidate Friday’s gains on low volume to start the holiday-shortened US trading week. The US dollar index, which tracks the greenback against six major currencies, rose to 101.34 in Asian trading, its highest since March 15.

But that move reversed as Treasury yields fell on geopolitical jitters about the French presidential election, escalating tensions in Syria and growing unease about North Korea.

Westpac’s Imre Speizer said the US dollar index was down 0.2 per cent on the day but the greenback’s general strength was still hitting the Aussie. “(The Australian dollar would be) vulnerable to a sustained break below the 0.7500 area (9 March low) towards 0.7450, the generally stronger US dollar at play,” he said in a morning note.

The local currency is also a touch higher against the euro but lower against the yen.

CURRENCY SNAPSHOT AT 0635 AEST ON TUESDAY

One Australian dollar buys:

* 75.01 US cents, from 74.88 on Monday

* 83.12 Japanese yen, from 83.32 yen

* 70.79 euro cents, from 70.77 euro cents

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

Originally published as Dollar scrapes above 75 US cents