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Forex - AUD/USD hits 5-day high as risk appetite revives

Published 03/22/2011, 04:02 AM
AUD/USD
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AUD/JPY
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Investing.com – The Australian dollar hit a five-day high against its U.S. counterpart on Tuesday, as signs of progress at Japan’s quake-hit nuclear plant boosted demand for riskier assets.

AUD/USD hit 1.0102 during late Asian trade, the pair’s highest since March 15; the pair subsequently consolidated at 1.0086, gaining 0.22%.

The pair was likely to find support at 0.9950, Monday’s low and resistance at 1.0157, the high of March 11.

Earlier in the day, Tokyo Electric Power Co., the operator of the stricken Fukushima Daiichi nuclear power plant, said it expected workers to restore power to parts of the building housing the most damaged reactors later in the day.

The greenback was also weighed by higher oil prices as widening unrest in the Middle East fuelled fears over supply disruptions.

The Aussie was also higher against the yen, with AUD/JPY rising 0.19% to hit 81.68.

Also Tuesday, Japan's Finance Minister Yoshihiko Noda said the Group of Seven leading industrialized nations would continue to cooperate after a joint intervention to curb the yen’s record gains last week brought a degree of certainty back to the market.

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