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Economic Research

RGE Currency Outlook: The Australian Dollar

Currency Volatility: The Australian dollar will see less volatility in 2010 compared to 2009 and 2008 as Australia's economic strength and interest rates versus the U.S. and Japan argue strongly for the AUD to retain its strength versus those currencies. The Australian dollar may experience setbacks from occasional bouts of risk aversion or a weaker-than-expected housing market recovery but will find a floor at 0.70 AUD/USD.

Australian Dollar
Source: RGE/Bloomberg,Olanda


Currency Trend: The Australian dollar is expected to vie for parity with the U.S. dollar in 2010. Australia's stronger economy,[...]

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