Aussie Dollar Can it Equal the US Dollar?

Added: (Sat Mar 13 2010)

Pressbox (Press Release) - Interest rates and the value of the Aussie dollar have gone up and down like the ocean tides over the last few years. But the Aussie dollar recovered faster than many others.
Economists feel that the fortunes of the Aussie dollar are this year being shaped by the type of growth around the world rather than just by high interest rates. As more nations are seen to be dusting themselves off and rising from the global recession, the interest rate margin between Australia and other nations will begin to close in this coming year.

Investors are now showing more interest in new and emerging Asian markets. However, in the short term the Aussie dollars future will also rely on how those markets stack up against those economies that are more advanced, but that will continue to struggle every so often before they once more become stable.

Another powerful factor in driving the Aussie dollar is the favour in which commodities are held when compared with manufactured goods a trend that analysts expect to continue throughout the year.

And although the Aussie dollar has not had parity with the US dollar since before 1983, economists concede that the end of this year could actually see that happen. In 2009 the Aussie dollar remained the fourth strongest out of the 120 currencies that were being monitored. And during the last year it appreciated just over 21% against the US dollar.

So while financial experts are still cautious, they do expect an improvement in the value of the
Aussie dollar against US currency. That wont happen all at once; the trend is usually that it rises, falls and then rises again and that trend is likely to remain. However, optimism is again emerging.
Mel loves shopping and writes about aussie dollar among other business related topics.