Australian dollar, NZ Kiwi rose to new highs
The Australian dollar has hit again the high note against the US currency as a result of the U.S. Federal Reserve's decision to pour more money into the American economy in the coming months.
As the US dollar languished, the Aussie and the New Zealand Kiwi were both on new highs, erasing previous losses with the announcement of Federal Reserve chairman Ben Bernanke that they will purchase $600 billion more of Treasuries to reduce the unemployment numbers and avoid deflationary effects in the world's biggest economy.
Analysts perceive that the two currencies will continue to stretch their value against the greenback as commodity prices surge in correlation to the decline of the US dollar.
The Australian currency, also known as the Aussie, went up in stride by 0.4 percent to $1.0037, almost breaching parity to the US dollar.
At 3:37 p.m. in New York, the Aussie currency gained 1.1 percent to 81.46 yen and touched 81.54 yen, the highest in more than three weeks.
The Reserve Bank of Australia's decision to increase rates to 4.75 percent on Tuesday had also redounded to the Australian dollar's strength in the last two days.
The New Zealand Kiwi, on the other hand, also traded higher fetching a high of 78.07 cents against the US dollar.