Aussie Dollar Rises Above 90 U.S. Cents
Given the relative strength of the Australian economy, more interest rate hikes are likely in Australia. It is less certain to what extent that will translate into further strength for the Australian dollar as the markets have already priced in further rate hikes and as the Australian dollar no longer at this point looks undervalued from a goods market point of view (which it certainly was when it traded at or below 70 U.S. cents). It could rise a bit more before it reaches its high, but probably not by much, especially if stock prices fall.