Aussie dollar levels with the greenback

After an unexpected rise in Australian interest rates, the Aussie dollar reached parity with its American counterpart this week.

The Australian dollar reached parity with its US counterpart this week. That was its strongest level since it floated in the 1980s. The trigger for the latest jump was an unexpected rise in interest rates to 4.75%. That move pre-empts a rise in inflation in the Australian economy, which grew by an annual 3.3% in the second quarter of 2010. The 'Aussie' has gained 11% against the US dollar this year.

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