Markets worldwide aren’t reacting all that much to the US Government shutdown (yet) but the Australian dollar is barrelling into late trading.
The Aussie is still climbing this evening against the greenback, after surging at 2.30pm AEST when the Reserve Bank of Australia announced it was keeping official interest rates on hold and said there were some encouraging signs on household and business sentiment in the domestic economy.
Here’s the chart of the Aussie today from investing.com. It hit a peak of $US0.9424 a short time ago.
This comes after the RBA’s official statement on rates said a weaker currency would help with the rebalancing of the Australian economy as it moves out of the mining investment boom.
Watch closely for speeches by RBA members board members – Governor Glenn Stevens especially – over the coming weeks. Jawboning is all they have between now and the Melbourne Cup Day rates decision.