THE Australian dollar closed at a fresh 14-month high, breaching $US0.9000 in a trading day of much better than expected jobless figures and record gold prices.
At 5pm today, the Australian dollar was trading at $US0.9025/29, up from Wednesday's close of $US0.8896/01.
It was the highest close for the unit since August 6, 2008, when it ended the domestic session at $US0.9084.
During Thursday's domestic session, the unit moved between $US0.8904 and $US0.9030, its highest level since August 8 last year.
CMC markets foreign exchange dealer Tim Waterer said the unit surged past $US0.9000 after the Australian Bureau of Statistics said the unemployment rate was 5.7 per cent in September, down from 5.8 in August.
``Another good day for the Aussie dollar,'' Mr Waterer said. ``It's going from strength to strength at the moment,'' he said.
``The Reserve Bank (RBA) could not have hoped for a better result today, particularly off the back of their unexpected rate rise on Tuesday. It opens the door for another two more rate hikes before the year is out.''
Meanwhile, the Australian share market has closed up more than one per cent, supported by stronger than expected jobs data.
On the Sydney Futures Exchange at 1615 AEST, the September share price index contract was 50 points higher at 4766 on 30,537 contracts.
IG Markets research analyst Ben Potter said the market rose on the back of new unemployment data and Alcoa Inc's profit result in the US.
``They (Alcoa) were expected to post another loss and they posted a profit, so they were up about seven per cent,'' Mr Potter said.
``Coupled with the huge jump in job numbers, we have seen the market really take that to heart and fly high,'' he said.
Official data on Thursday showed the number of employed Australians rose by 40,600 (0.4 per cent), seasonally adjusted, in September, more than offsetting a fall in August.
Financial stocks benefitted from the positive sentiment, with National Australia Bank leading the way and rising $1.33, or 4.43 per cent to $31.35.
Commonwealth Bank rose $1.67 to $52.97, Westpac rose 79 cents to $26.30, ANZ put on 89 cents to $24.74 and Macquarie gained 37 cents to $56.42.
Big miners posted rises, with BHP Billiton up 35 cents to $38.16 and rival Rio Tinto was 55 cents stronger at $61.30.
Spot gold hit a fresh record high of $US1054.30 per fine ounce at 1310 AEDT, and at 1700 AEDT was trading at $1052.43, up $US9.85 on Wednesday's closing price of $US1042.58 per ounce.
Gold miners had small gains, with Newcrest up one cent to $35.16, Newmont seven cents higher at $5.25 and Lihir three cents stronger at $3.17.
Energy stocks finished the day mixed, with Woodside Petroleum losing 24 cents to $50.75 and rival Oil Search up 21 cents to $6.60.
AAP
