exchange rate rise (1 Viewer)

[marsenal]

What do you guys put down the rise in the exchange rate over the past couple months to?

 

[bobo123]

im guessing its because of our strong fundamentals ?

 

[ellipsis]

I'm saying it was more of a US depreciation as opposed to an Australian appreciation - because compared to other currencies, like the Euro, we've stayed pretty much the same.

But we stayed stable because of the strong fundamentals, so thats why we didn't go down with the US.

 

[Harimau]

Because our economy is performaing beyond other countries, and that is not an entirely good thing, so they increased the exchange rate to try and slow it down a little.

 

[ellipsis]

Originally posted by Harimau
Because our economy is performaing beyond other countries, and that is not an entirely good thing, so they increased the exchange rate to try and slow it down a little.

huh ? don't you mean interest rate ? They try not to fiddle with the exchange rate, it sends bad signals.

 

[Harimau]

Originally posted by ellipsis


huh ? don't you mean interest rate ? They try not to fiddle with the exchange rate, it sends bad signals.

Yeah sorry, im reading an article about exchange rates at the same time as i was responding so...

 

[AGB]

i think it is a combination of a weak $US globally as well as a strong $A

australia has not suffered as much as some of the major economic powers as a result of the recent downturn (i.e. the contagion effect has not trickled down severely into australia). therefore, because of our strong economic fundamentals (as said above) there is an increase in demand for our dollar, thus raising the price of it

this, coupled with a weak $US would boost the $A significantly in comparison to the TWI

 

[AGB]

Originally posted by Harimau

Because our economy is performaing beyond other countries, and that is not an entirely good thing, so they increased the exchange rate to try and slow it down a little

Originally posted by Harimau


Yeah sorry, im reading an article about exchange rates at the same time as i was responding so...

the interest rate hasnt changed tho since june last year??? the rba hasnt changed it at all in response to the strong australian economy