FXstreet.com (Córdoba) - A surprise rate hike by the Reserve Bank of Australia boosted stocks all over the world and sent the Dollar lower. Gold also was boosted and rose to $1045 a/oz, posting a historical high. Currencies tied to commodities jumped across the board.
Hopes for an economic recovery ahead of the earning season revive helped by the rate hike in Australia. The central bank rose the benchmark rate to 3.25% as the governor of the bank said that the worst of the crisis was over. Stocks in Europe rose more than 2.50% on average and at New York, main indexes ended with gains around 1.35%.
The Australian Dollar jumped across the board, posting a fresh 13-month high against the Dollar. AUD/USD closed above 0.8900 for the first time since August of 2008. NZD/USD also rocked, hitting the highest price in 14 months.
Crude oil posted moderate gains, rising only 0.60%; but it was enough to take the Canadian Dollar to a fresh year high against Greenback. USD/CAD finished below 1.0600 for the first time in a year.
Cable weakened across the board and did not join the rally against the Dollar. Actually Greenback unique gains where against the Pound. GBP/USD failed to hold above 1.6000.
The Yen rose across the board during the European session and consolidate in the American. USD/JPY fell from 89.40 to 88.60 and is moving in ranges since then. A break below 88.60 could strengthen the Yen, sending the pair to the September lows that lie at 88.20.