See the latest Australian dollar analysis here:
From the AFR:
Foreign central bank appetite could be adding up to US15¢ to the value of the Australian dollar according to one strategist, as the market awaits commentary from the Reserve Bank of Australia on the high dollar following its rates meeting on Tuesday.
Morgan Stanley strategist Gerard Minack wrote in a note to clients this morning that offshore central bank inflows could be pushing the Australian dollar by between US10¢ and US15¢ beyond its fundamental value.
The McKibbin proposal needs a national debate. Right now we are the new Switzerland and need policies to cope with it.