The Australian dollar has rallied above 93.50 US cents following strong local jobs numbers and positive trade figures out of China.
At 1220 AEST on Thursday, the local currency was trading at 93.60 US cents, up from 93.45 cents on Wednesday.
Commonwealth Bank currency trader Richard Grace said the Australian dollar shot up after the release of positive jobs data and gained further momentum on the back of pleasing trade figures from China.
“Iron ore exports to China are the second highest on record and the Australian jobs figures were pretty good,” he said.
“When you get two monthly jobs figures around that 5.8 per cent unemployment level, it suggests it’s not a one-off so, overall, it’s all very supportive for the Australian dollar.”
The unemployment rate was steady at 5.8 per cent in April, with the total number of people with jobs rising by 14,200 to 11.573 million.
The median forecast from economists was for an unemployment rate of 5.9 per cent, with 8,000 more people with jobs.
China’s exports and imports rose marginally in April, official data showed on Thursday, rebounding from sharp declines in March, with the country reporting a second straight trade surplus.
Meanwhile, the Australian bond market was slightly weaker at noon.
At 1200 AEST on Thursday, the June 2014 10-year bond futures contract was trading at 96.165 (implying a yield of 3.835 per cent), down from 96.175 (3.825 per cent) on Wednesday.
The June 2014 three-year bond futures contract was at 97.110 (2.890 per cent), down from 97.150 (2.850 per cent).