The Australian dollar stayed well below recent 14-month peaks on Tuesday, hurt by profit taking in long positions by investors, although buying by funds and others at dips checked a sharper decline. The Aussie was at $0.9182, recovering from a low of $0.9125 but still down from $0.9235 seen late here on Monday. It had struck a 14-month high of $0.9330 late last week.
It eased to 84.55 yen from 84.71 yen late on Monday, with support strong around 84 yen. "There were a lot of buyers waiting at the dips which saw the Aussie recover," said Anthony Gray, head of the risk solutions department at Travelex. Other traders cited buying by investors such as hedge funds, while talk swirled that Asian central banks were also bidding for the Aussie.