The Australian dollar on Wednesday lifted from near its three-year low against the U.S. dollar, reversing three consecutive trading sessions of losses against its cross-Pacific rival, Bloomberg reports.
The Aussie has lost more than 9 percent of its value against the U.S. dollar since the end of this past March as the monetary unit barrels toward marking its biggest quarterly losses since the third quarter of 2011.
"In an environment with so much market volatility and position squeezing taking place, investors may be forced to take profit on their winners to offset losers," strategists with Citigroup Inc stated in a Wednesday email to Bloomberg, also issuing a recommendation to purchase the Aussie. "There are not many winners at the moment, but short AUDUSD has been a big one."
On Wednesday, the Aussie's advance climbed as high as 0.4 percent against the greenback one day after marking its lowest value since the middle of December 2010.
The performance of the Australian dollar was harmed on Tuesday by the central bank of Japan declining to prolong its economy-spurring stimulus program, according to The Business Spectator.
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