The Australian dollar got a lift on Friday as the country’s central bank painted a luminous outlook for the economy, suggesting interest rates and the currency were set to rise a lot further over time.
The Aussie was firmer at $0.9133 at noon, from $0.9051 seen here late Thursday, albeit in thin trading volumes. In the near term, it is meeting resistance at the 20-day moving average of $0.9140.
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Pointing to buoyant trade, investment and population growth, the Reserve Bank of Australia (RBA) sharply upgraded its forecasts for economic growth.
The Aussie was firm on the yen at 82.79 yen , from Thursday's 81.84. Trade was cautious ahead of key U.S. payrolls data later in the session.
As it is, Australia already offers the highest interest rates in the developed world at 3.50 percent.
While investors are unsure about a 25-basis-point rate rise next month, they are confident rates will be sharply higher a year from now.
