SYDNEY: The Australian dollar has hit a fresh six-year-low after a landslide “No” vote in Greece’s bailout referendum.
At noon (AEST), the local unit was trading at US75.05 cents, down from US75.84 cents on Friday.
The local currency dipped below US74.52 cents in early morning trade, it’s lowest level since May 2009.
Overnight, Greek voters rejected more austerity demands from international creditors, fuelling expectations of a eurozone exit.
OANDA Australia and Asia Pacific senior trader FX Stephen Innes said investors were taking a very cautious approach to the market after the result, but the vote outcome wasn’t the only factor influencing the currency.
“Although we’re seeing some risk-aversion trade vis-a-vis the Aussie, last week’s 10 per cent drop in iron ore price is definitely weighing on sentiment,” he said.
