Investing.com - The Australian dollar rose to an eight-day high against its U.S. counterpart on Wednesday, after U.S. lawmakers passed the highly anticipated budget bill, due to prevent the country from falling into recession.
AUD/USD hit 1.0493 during late Asian trade, the pair's highest since December 20; the pair subsequently consolidated at 1.0477, advancing 0.79%.
The pair was likely to find support at 1.0375, the session low and resistance at 1.0533, the high of December 19.
U.S. lawmakers passed a compromise bill on Tuesday to avoid the fiscal cliff, blocking a series of looming tax increases and spending cuts that could have pushed the U.S. economy back into a recession.
U.S. President Barack Obama hailed the deal as "just one step in the broader effort to strengthen the economy".
The U.S. president was speaking after the House of Representatives passed a Senate-backed bill by 257 votes to 167.
Elsewhere, the Aussie was higher against the euro with EUR/AUD slipping 0.14%, to hit 1.2676.
Later in the day, the Institute of Supply Management was to produce a report on manufacturing growth in the U.S.
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