RBA Says Aussie Was 2% Overvalued; Reserve Holdings Increase
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The Australian dollar was about 2 percent overvalued last month and could still be considered too high to achieve “desired domestic economic outcomes,” Reserve Bank of Australia documents show.
In papers released Friday under a Freedom of Information request by Bloomberg News, the central bank said its modeling showed the currency was about 5 percent overvalued in the fourth quarter against a basket of currencies.