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The Australian and New Zealand dollars pulled back from dizzying heights on Friday as investors took profits ahead of what could be a crucial US jobs report for the prospect of monetary easing there. The Australian dollar backed off to $0.9826, having climbed to a 28-year peak of $0.9920 on Thursday as the US currency slid across the board. Near-term support was put at $0.9750, while resistance was around $0.9918 and $0.9939.
Remarks from Reserve Bank of Australia Deputy Governor Ric Battellino about how Australian rates needed to go higher and that the bank was sanguine on the Australian dollar's rally gave the Aussie a brief boost. But the overall decline in the Aussie on Friday helped sterling to recover a touch to A$1.6188, from a Thursday's 25-year trough of A$1.6023. The New Zealand dollar was at $0.7542, about half a cent above session lows but away from a near 12-month high of $0.7598 hit in offshore trade.

Copyright Reuters, 2010

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