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Australia dollar rise getting ahead of itself-RBA

Published 22/03/2016, 05:14 pm
© Reuters.  Australia dollar rise getting ahead of itself-RBA

SYDNEY, March 22 (Reuters) - The recent rise of the Australian dollar was "getting a bit ahead of itself" given the outlook for commodity prices and U.S. interest rates, the country's top central banker said on Tuesday.

Asked if he wanted to see a lower local dollar, Reserve Bank of Australia (RBA) Governor Glenn Stevens noted that it would be hard to find any central bank that would prefer a higher currency right now.

Stevens said world commodity prices would have to recover strongly and the U.S. Federal Reserve not raise interest rates at all to justify a much higher Australia dollar.

"There is some risk that the currency might be getting a bit ahead of itself, in my view," Stevens said, after giving a speech on the risks of another global financial crisis.

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