Aussie, Kiwi dollars struggle on China’s rate cuts

SINGAPORE: The Australian and New Zealand dollars languished near multi-week lows on Tuesday after China’s move to cut several key interest rates, while the dollar was little changed as it awaited fresh impetus.

China on Monday surprised markets by cutting major short and long-term interest rates in its first such broad move since last August, signalling intent to boost growth in the world’s second-largest economy.

The two Antipodean currencies, often used as liquid proxies for the Chinese yuan, were flat after slumping in the previous session in the wake of the news. The Australian dollar was trading at $0.6643 early on Tuesday and the New Zealand dollar dipped 0.01% to $0.5979.