The Australian and New Zealand dollars recouped a little of the week's hefty losses on Wednesday as Japanese shares bounced, though uncertainty over the nuclear crisis in Japan could see another wave of risk aversion. The Australian dollar edged up to $0.9930, after plunging to a two-month trough of $0.9815 on Tuesday, but remained 2.1 percent down so far this week.
Support was seen around $0.9803, with resistance at $0.9966 and $0.9991. The kiwi consolidated around $0.7320/25 during a session dominated by risk, after it had been dumped to a near six-month low of $0.7267 overnight. The Aussie perked up to 80.13 yen, after tumbling to a near five-month low of 79.23 yen overnight, with dealers wary in case Japan intervenes to curb the yen. It also pared some of its losses on the Swiss franc at 0.9093 francs , having fallen 2.7 pct overnight to as deep as 0.9020 francs.
The euro hit an early 18-week peak at A$1.4151, before edging back a touch to A$1.4070. The kiwi was anchored around 59.20 yen, after touching a near seven-month low of 58.64 as Japanese investors were seen liquidating carry trades. The NZ dollar was unmoved by a sharp fall of 8.2 percent in dairy prices in Fonterra Group's latest auction, the first drop since November.
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