Oct. 26 2010
This article, published back in October of 2010, indicates that the Australian Dollar will be above 90 US cents throughout 2011 as the Reserve Bank of Australia continues to raise interest rates in the aftermath of the Global Financial Crisis.
During this period in October 2010 the Australian dollar had reached parity with a high of 100.04 US cents, and that has been driven because the US Federal Reserve will print money to stimulate the economy has depreciated the US dollar against the Australian dollar and lifted commodities.
The Reserve Bank of Australia received a report that stated that Australia's economy is unlike the United States, it 'dances to a different drum' and continuing good economic news is likely for the RBA to lift interest rates again.
Since then the Australian dollar has jumped above parity and only going below that in March after the Japanese earthquake and tsunami, but since recovering over that again.
In Commerce we have found that the Australian Dollar can appreciate and depreciate against different currencies. At the moment as the Australian dollar is recovering from the Global Financial Crisis is it appreciating against the US Dollar, which has begun to print money- which can lead to hyperinflation, as we have learnt that in Commerce as well with cases in the past such as Germany, Zimbabwe and Argentina.
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