(Australian Associated Press)
The Australian dollar has slipped a touch on the back of firming market bets on a US interest rate rise.
The local currency was trading at 73.68 US cents at 0700 AEDT on Wednesday, down from 73.74 US cents on Tuesday.
Westpac senior market strategist Imre Speizer said there was a slight uptick in the US dollar overnight on the back of renewed investor confidence in another US interest rate rise this year.
“A slight uptick in the US dollar and US interest rates overnight capped the Australian dollar and the New Zealand dollar,” he said.
“Minor US data was encouraging, but markets are more focused on tonight’s (US time) promised press conference by Trump.”
However, Mr Speizer added that recent momentum for the Aussie has been upwards, with it possibly testing the 74 US cent level soon.
Meanwhile, the Australian share market is set to open higher, after stocks rose worldwide on Tuesday supported by a rally in commodities such as copper and silver.
At 0700 AEDT on Wednesday, the local SPI 200 futures contract was up 24 points at 5,740 points.
The main local economic data due Wednesday is the Australian Bureau of Statistics data on job vacancies in November.
On Monday, the Australian share market closed weaker for the first time in 2017 as investors took profits following a run of gains.
The benchmark S&P/ASX200 was down 46.7 points, or 0.8 per cent, at 5,760.7 points, while the broader All Ordinaries index was down 44.7 points, or 0.76 per cent, at 5,813 points.
CURRENCY SNAPSHOT AT 0700 AEDT ON WEDNESDAY
One Australian dollar buys:
* 73.68 US cents, from 73.74 US cents on Tuesday
* 85.26 Japanese yen, from 85.22 yen
* 69.78 euro cents, from 69.50 euro cents
* 60.57 British pence, from 60.69 pence
* 105.39 New Zealand cents, from 104.89 NZ cents
* CGS 5.25 per cent March 2019, 1.860pct, unchanged Tuesday.
* CGS 4.25pct April 2026, 2.652pct, unchanged.
Sydney Futures Exchange prices:
* March 2017 10-year bond futures contract at 97.240 (implying a yield of 2.760pct), down from 97.250 (2.750pct) on Tuesday.
* March 2017 3-year bond futures contract at 97.990 (2.010pct), down from 98.000 (2.000pct).
(*Currency closes taken at 1700 AEDT previous local session, bond market closes taken at 1630 AEDT previous local session)