Recent positive news from the Australian property market has led to an improvement in the Australian's dollar's position and increased investor confidence in the country.
Data showing that building approvals rose 8.4 per cent in November after falling to their lowest point for over two years in the previous month has sparked a degree of optimism in the country's construction industry.
This has been tempered by a degree of realism, however - the Housing Industry Association has warned that further rate cuts from the Reserve Bank of Australia may be necessary in order to maintain the recovery.
In global trading the Australian dollar has bounced back following the release of the construction figures, reaching an early high of $102.75 against the US dollar, AAP reports.
ANZ currency strategist Andrew Salter told the news provider there was a generally positive mood in the market.
"In this session, we've been underpinned by an improvement in risk appetite," he said.
Posted by Steve Douglas
