How high can the Aussie dollar go?

The end of the Reserve Bank's cutting cycle, US budget reforms and a stabilising global economy and all set the stage for a stronger local currency – and it could lift as far as $US1.25.

Businesses, consumers and the Reserve Bank of Australia should think about the possibility of the Australian dollar going to $US1.25 in the next year or two. It could even go higher if the US dollar is further eroded by less gloomy news out of the eurozone, more political ructions from US Congress over the debt ceiling and further fiscal policy reforms.


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