Aust dollar holds below US90c

Local currency slips as US Federal Reserve maintains stimulus program.

The Australian dollar is slightly lower, after a mixed night of United States economic data and central bank announcements.

At 0630 AEST, the local unit was trading at 89.94 US cents, down from 90.16 cents on Wednesday.

The currency lost ground early in the overnight session when it was reported that the American economy grew 1.7% in the June quarter, above the 1.1% expected by analysts.

A few hours later, the Australian dollar recovered most of its losses after the US Federal Reserve said it would keep going with its economic stimulus plan.

The market had been expecting the $US85 billion-a-month bond-purchase program to start winding down in September.

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