AUD

Australian Dollar forecasts

Why the Australian Dollar is getting stronger when the economy is on it’s knees

The AUD/USD exchange rate has risen 30% in 4 months. That is remarkable. 2020 has been a rocky ride for most currencies and markets and the Australian dollar is no different. Here are a few reasons why the Australian dollar has gotten so strong, so quickly. Overdone Part of the reason the Australian dollar bounced back so hard is that in March, it may have fallen too far. That is, during the first stages of the COVID-19 pandemic, markets sold off the AUD too hard, believing things were worse that they ended up being. On the other side of this, […]

AUD USD Rises Above 72 cents for the first time in 17 months

For the first time since February 2019, the Australian dollar has risen above 72 cents. It caps off a remarkable period for the Aussie dollar which hit 0.5740 in late March. The massive rally higher has been driven by: An increase in commodity prices A weaker US dollar Increased risk sentiment The forecast for the AUD/USD remains uncertain heading into the back half of 2020. While many agree that the US dollar could weaken further, commodity prices are less likely to continue higher. There is also the possibility of increased volatility which historically, has had a negative impact on the […]

The Aussie dollar rockets to a 15-month high above 71 cents

Yesterday, the Australian dollar pushed higher to hit a 15-month high. A softer US dollar helped propel the AUD/USD rate to 0.7181 before easing back about 0.5% this morning. The Aussie dollar managed to strengthen despite a rise in coronavirus cases both locally and in the US. The extension of the JobKeeper and JobSeeker programs by the federal government set a positive tone for the local currency which also move higher agains many other major currencies. While a higher AUD benefits Australians heading overseas, most locals can’t take advantage of it with international travel bans likely to remain in place […]

The Australian dollar hits 70 cents for the first time since the start of 2020

The Australian dollar has risen back above 70 cents for only the second time since the first week of 2020. It has now recovered more than 20% since bottoming out in March when it fell below 58 cents. The amazing surge of the Australian dollar largely reflects a changing mood across global markets that not only is the worst of the COVID-19 pandemic behind us, but also that the impact will be less severe than previously forecast. The AUD has performed strongly, not just against the US dollar. It has risen sharply against most major currencies. The AUD to EUR exchange […]

2 Reasons the Australian dollar has charged higher above 69 cents

The Australian dollar (AUD) has charged higher to 69 cents against the US dollar. It is largely been driven by A weaker US dollar Strong iron ore prices A weaker US dollar During the start of the COVID-19 pandemic, the US dollar got stronger and stronger. Fear griped the market, creating massive demand for US dollars and US dollar ‘safe haven’ assets like US treasuries. Since the middle of March, as infection rates in many western countries peaked, markets started to focus on the recovery. As conditions improved, markets became more optimistic, moving money back out of the US dollar, […]

Australian Dollar reaches a 3 month high on recovery hopes

In short The AUD/USD hits a 3 month high of 0.6675 as hopes for an economic recovery increase The Australian dollar is nearly 12 cents higher from its lows in late March The AUD has also rallied higher against the Euro, Yen and British Pound in the past 2 months Time Open Low High Today 0.6625 In the last week 0.6511 0.6675 In the last month 0.6376 0.6675 The Aussie dollar has made a remarkable recovery to hit a 3 month high against the US dollar at 0.6675. As the world entered the economic downturn caused by COVID-19, the Australian […]