RTTN:Australian Dollar Strengthens Against Most Majors
(RTTNews) - In early European deals on Friday, the Australian dollar strengthened against its most major counterparts as the European stocks rebounded from yesterday's sharp slide after the Group of 20 finance chiefs pledged bold and coordinated action to face renewed challenges and preserve the global financial stability.
Germany's DAX is now up by 0.6 percent, France's CAC 40 index is gaining 0.2 percent and the U.K.'s FTSE 100 index is adding 1 percent.
"We commit to take all necessary actions to preserve the stability of banking systems and financial markets as required," they said in a communique issued after the world leaders meeting in Washington on Thursday. However, the leaders offered no immediate policy response to the crisis as widely expected.
The statement is expected to calm a turbulent market, hit by recession fears centered around worsening fiscal conditions in a number of European economies.
The Aussie tumbled yesterday after the U.S. Federal Reserve warned on Wednesday that there are more downside risks to the economic outlook.
The aussie is currently worth 0.9860 against the US dollar and 75.20 against the yen. The next upside target level for the aussie is seen at 76.5 against the yen and 0.990 against the greenback.
Against the Canadian dollar, the aussie is now trading at 1.0100 with 1.022 seen as the next upside target level.
The Australian dollar is presently trading at 1.3755 against the euro and if the aussie gains further, it may likely target the 1.370 level.
