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The Australian and New Zealand dollars held down to strong offshore gains on Thursday, following a furious rally in risk assets, with China's PMI providing some relief that its economy is not as weak as some had feared. Risk assets were riding high after major central banks stepped up moves to prevent a global credit crunch, and China, the biggest consumer of Australian resources, cut the cash banks must keep as reserves.
The Aussie dollar last stood at $1.0256, from $1.0249 in New York, having jumped as much as three cents on Wednesday to as high as $1.0335. It has gained 6 percent since Friday when it hit a one-month trough at $0.9663. The New Zealand dollar held large gains at $0.7790, having climbed as high as $0.7824 offshore. It has risen some 5 percent this week.

Copyright Reuters, 2011

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