The Australian and New Zealand dollars moved lower against their U.S. counterpart on Wednesday, amid profit-taking and as the greenback mildly recovered from U.S. President-elect Donald Trump’s recent comments.
AUD/USD slid 0.33% to 0.7541, off the previous session’s two-month high of 0.7569.
The greenback weakened broadly after Donald Trump said to the Wall Street Journal on Monday that U.S. companies could not compete with China “because our currency is too strong. And it’s killing us”.
In separate remarks, a senior adviser to the U.S. President-elect warned about the risk from a stronger dollar.
NZD/USD fell 0.30% to trade at 0.7195, after hitting a one-month peak of 0.7221 on Tuesday.
Market participants were looking ahead to U.S. data on inflation and industrial production, as well as a speech by Federal Reserve Chair Janet Yellen, due later in the day, for further indications on the strength of the economy.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up 0.41% at 100.67, off Tuesday’s five-week trough of 100.23.