Aussie dollar surges past 65 U.S. cents for first time in 2025

ABC NEWS (Australia)

The Aussie dollar was last above 65 US cents in November 2024, but has regained ground as the U.S. dollar declined in the months since US President Donald Trump returned to the White House.

Transcript

00:00The Aussie dollar was last above 65 US cents in November, when it was on the way down from

00:07a peak of 69.4 in September. It bottomed in January as the US dollar peaked just before

00:14Donald Trump's inauguration, since when the American currency has declined 10%, pushing

00:18the Aussie back up to where it was six months ago, which tonight is 65.3 US cents. During

00:25Trump's first term as president, global investors were happy to lend money to the US government

00:30for 20 years at 3% interest. Now they want 5% and they're not even sure about that. Last

00:36week there was an auction of 20 year government bonds, which didn't go very well at all. And

00:41that's because investors got a look at the One Big Beautiful Bill Act, as it's officially

00:46called, which wraps an entire legislative program into one bill that, among many other things,

00:53extends the tax cuts from Trump's first term. According to the Congressional Budget Office,

00:57it adds up to more than $3 trillion of extra deficit over 10 years. I mean, a trillion

01:03here, a trillion there, and pretty soon you're talking about real money. The share market was

01:08basically flat today, with gains balancing falls, and that followed a small drop on Wall

01:14Street on Friday. A mixed performance is in Asia today, and on commodity markets, gold, copper,

01:18and oil went up 1% or more, while iron ore fell 1%. And finally, Morgan Stanley has had a go

01:25at predicting how many humanoid robots there will be in the world in 25 years. They reckon

01:30there will be a billion of them. At that growth rate, there will be more humanoids than humans

01:3625 years later. And that's finance.

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