The dollars of Australia and New Zealand performed poorly on Thursday against the world's reserve currency as the U.S. government's partial shutdown notched a third day, Bloomberg reports.
The kiwi edged up early during the trade session but then lost those gains and Aussie held on to its losses. Reserve Bank of New Zealand Governor Graeme Wheeler said interest rates might climb more rapidly than policy makers project.
"Chinese data has been supportive for the Australian dollar," foreign-exchange analyst Divya Devesh with Standard Chartered Plc. in Singapore told the publication on Thursday. "But what is more likely to drive the Aussie, in the near term at least, is going to be global risk appetite given what's happening in the U.S."
The Australian dollar preserved losses of 0.1 percent from the Wednesday trade session. The kiwi climbed 0.1 percent and then lost the same value.
Congressional leaders and President Barack Obama were unable to agree on a budget by the end of last fiscal year, The Australian reports. Concerns are growing about prospects of the two parties' upcoming negotiations regarding the debt ceiling.
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