Friday saw the monetary unit of Australia push to its highest value in four weeks against the U.S. dollar as the world's reserve currency reeled in the aftermath of Fed chief Ben Bernanke announcing on Thursday that the Fed will implement a third round of quantitative easing, Bloomberg reports.
The Bernanke announcement also continued to support the New Zealand Kiwi, which increased to its highest value in 180 days. The expected announcement followed two days of meetings at the U.S. Federal Reserve.
"The message from the Fed is they are going to keep pushing hard in terms of their easing efforts even if and when the economic news improves," foreign-exchange strategy global co-head Ray Attrill with National Australia Bank Ltd. in Sydney told Bloomberg. "That's been the particular element of what the Fed has done that has impressed those involved in risk assets."
Bonds issued by the government of Australia fell on Friday, marking the third consecutive day of losses.
The Australian dollar was propelled by the U.S. dollar's losses, which also continued into Friday, The Wall Street Journal reports.
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