Aussie to Benefit as Everything Not Nailed Down Gets ECB Bid

Australia’s dollar, the best performer among major peers this year, may extend gains after the European Central Bank’s unprecedented easing boosted demand for the currency, according to Westpac Banking Corp.

The Aussie’s Bloomberg Correlation-Weighted Currency Index climbed 0.4 percent yesterday, taking this year’s advance to 4.7 percent, after the ECB became the first major central bank to charge fees on deposits. President Mario Draghi also unveiled plans to support an economy threatened by deflation. In contrast, Australian policy makers this week acknowledged “somewhat firmer” growth and were backed up by a report showing the economy expanded at the fastest pace in two years last quarter.