Australian Dollar Gains as Scott Morrison Voted in 30th Prime Minister of Australia

The Aussie dollar made a dramatic recovery on Friday, erasing almost all losses incurred on Wednesday and Thursday, after prime minister Malcolm Turnbull was ousted by Liberal party lawmakers.

Turnbull’s replacement, Treasurer Scott Morrison, defeated right-wing candidate Peter Dutton by just five votes.

Embed from Getty Images

In the first hour following Morrison’s win, the Aussie dollar gained about 0.50% percent against the USD, rallying from 0.7250 to 0.7290.

The AUD continued to rally into the New York trading session, gaining an additional 0.75%. At press time, the AUD/USD currency pair is trading at 0.73307, up 1.13% on the day.

While Morrison's win saved the currency from plunging to fresh yearly lows, it remains to be seen if his leadership and policies will be sufficient to reverse the downtrend of the Aussie dollar this year. On Aug. 15, the Aussie dollar hit an 8-month low of 0.72025 against the U.S. dollar:

AUD banknotes photo credit: 1