Aussie Dollar Falls Against The US Dollar

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Etoro

The currency markets have been kind to the Australian dollar over recent months and years, with the ‘Aussie’ consistently outperforming its American counterpart but today the Aussie dollar fell against the US dollar. For the first time in years, investors at eToro and other trading sites saw the greenback shove its way past the Aussie, a move mainly fuelled by an interest rate cut by the Reserve Bank of Australia and improved sentiment for the dollar and the US economy in general.

The Australian dollar has had somewhat of a purple patch for the past couple of years in comparison to other currencies but the heyday has come to an end. Traders at eToro saw the Aussie dollar fall to USD $0.97 by the close of Friday night’s Asian trading session. In just ten days the Australian dollar has fallen by 6 per cent against the US dollar but what are the effects of the Aussie’s long term dominance and how will that all change now that the worm has turned?

There has been a downside to the Aussie’s strength. The high-flying Australian dollar has caused some real concerns for other industry sectors ‘down under’. Australia’s export sector has been hit the hardest due to the strength of the dollar. From mineral mining and manufacturing to education and tourism, all of these Australian industry sectors have felt the pain from a prolonged period of strength for the Aussie. However, a weakened Aussie dollar should boost these ailing industries but by how much, we will have to wait and see.

If you think you know which way the AUD/USD currency pair is going to shift, maybe you should try your hand at trading currency pairs online with the world’s leading social trading platform, pay a visit to www.etoro.com.