Australia, NZ dollars fluctuate against the US dollar, continue to rise versus the yen

Australian and New Zealand Dollars Stabilize Amid US Dollar Rally

On Wednesday, both the Australian and New Zealand dollars found stability after the US dollar experienced a widespread rebound the previous night. Meanwhile, both currencies continued to strengthen against the Japanese yen, fueled by growing speculation that Japan may introduce additional debt-financed fiscal stimulus measures.

The Australian dollar was last seen at $0.6687, easing back from an overnight peak of $0.6727. Key support is identified at $0.6662, while resistance stands at the recent 15-month high of $0.6766.

Ray Attrill, who leads foreign exchange strategy at National Australia Bank, noted that the Aussie’s recent upward momentum is underpinned by several fundamental factors, such as expectations of Reserve Bank of Australia rate moves, gains in the Chinese yuan, a favorable risk environment, and rising commodity prices.