| Could the Australian dollar explode to $1.20 against the US dollar next year? The possibility of the local currency surging higher from the current elevated level is a scenario that is rarely contemplated by most financial analysts and traders. The consensus view is we have to get used to the Aussie trading close to parity or marginally higher for the time being because of the policies being adopted by the major central banks around the world.
However, this is a completely different story to the Aussie moving significantly higher. An appreciation of the local dollar would put the domestic economy and the Reserve Bank of Australia under enormous pressure...............................................Full Article: Source |