Covid-19 Risk In Australia Kills Aussie Dollar! - - Financial Market Media No. 1 in the World Covid-19 Risk In Australia Kills Aussie Dollar! Covid-19 Risk In Australia Kills Aussie Dollar!

July 19, 2021

Covid-19 Risk In Australia Kills Aussie Dollar!

 The coronavirus threat in Australia continues to push the Aussie dollar to fall to its latest annual low in today’s Asian session.

The Aussie dollar traded 0.25% lower against the greenback dollar, to 0.73750, the lowest level ever seen since early December. The antipodean currency also slipped to a five-month low against the safe-haven yen.

Restrictions in some affected areas continued to be tightened, with Sydney ordering the closure of building sites, closing down non -essential retail businesses and imposing fines on employers for forcing workers into offices.

Sydney, Australia’s largest city with a population of 5 million, has been closed since June 26 and is expected to end on July 30, after airport transit drivers brought the virus into the community and triggered a very rapid outbreak.

Meanwhile, according to a survey released by the Wall Street Journal (WSJ), the Reserve Bank of Australia (RBA) is expected to postpone its bond -buying reduction plans if Sydney continues under sanctions until mid or late August.

This will definitely put pressure on the Aussie dollar to continue to trade weak.

Meanwhile, analysts from the Commonwealth Bank of Australia, say that the closures in Sydney and Melbourne are expected to significantly affect the Australian economy.