“The position has long been a remains. That intervetion can, in the right cricumstances, suitably used, be effective and useful. It can make up our policy weaknesses. In other areas, and it can really  stand against fundementals.”

 

The Australian dollar took a further hit overnight as Genaity Yellen moves closer to become the next head of the US Federal Reserve. Her nomination has been approved by a US senate banking committee and is now likely to be approved by the full senate. Ms Yellen is expected to replace imcumbent Ben Bernaky in January and keep easy money true policy in place.

 

The Australian dollar is continuing to fall and a short time ago, it was buying 92.36 actually, ticking a little higher. The Austalian share market has jumped in early trade after a milestone session on Wall Street. The All Ordinaries index snapping four days of losses there. The ASX and the All Ords are up almost one percent. A rebound on Wall Street let the Dow Jones close at 16,000 for the first time after economic data pointed to a slowly improving labor market and subdued inflation.