Asian Session – Australian Dollar climbs on US deal optimism, RBA minutes
October 15, 2013 7:13 am
The US dollar remained mostly strong during the Asian session, although market participants were reluctant to push it higher on fears that optimism about a deal in Washington could wane and that a compromise would only be a short-term fix. Furthermore, there were doubts whether any potential deal struck in the Senate would satisfy the Republican majority of the Lower House.
The dollar ended down 0.21% against the yen at 98.41, after hitting a 2-week high of 98.69 earlier in the session. Against the pound it was slightly down by 0.03% at 1.5980, with the market eyeing the publication of UK inflation data later during the European session. The dollar was stable against the euro at 1.3564.
The best performer of the session was the Australian dollar, which rose 0.52% against the US dollar at 0.9534, a 4-month high. The Australian dollar was boosted by the chances for a deal in Washington and the resulting improvement in risk appetite.
The publication of the minutes of the October monetary policy meeting of the Reserve Bank of Australia showed the Bank was not planning on lowering interest rates and did not show concern about the rise in the currency.
The US dollar remained mostly strong during the Asian session, although market participants were reluctant to push it higher on fears that optimism about a deal in Washington could wane and that a compromise would only be a short-term fix. Furthermore, there were doubts whether any potential deal struck in the Senate would satisfy the Republican majority of the Lower House.
The dollar ended down 0.21% against the yen at 98.41, after hitting a 2-week high of 98.69 earlier in the session. Against the pound it was slightly down by 0.03% at 1.5980, with the market eyeing the publication of UK inflation data later during the European session. The dollar was stable against the euro at 1.3564.
The best performer of the session was the Australian dollar, which rose 0.52% against the US dollar at 0.9534, a 4-month high. The Australian dollar was boosted by the chances for a deal in Washington and the resulting improvement in risk appetite.
The publication of the minutes of the October monetary policy meeting of the Reserve Bank of Australia showed the Bank was not planning on lowering interest rates and did not show concern about the rise in the currency.
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