ANALYSIS - DOLLAR'S SHARP RISE TO HURT SOME AUSTRALIANS.

AsiaPulse News, May, 2003

SYDNEY, May 19 Asia Pulse - The Australian dollar's sharp rise is bringing joy to many, but the truth is it will probably hurt more Australians than it helps.

The Aussie hit a new 40-month high of 66.20 US cents today, and looks set to head even higher with many economists tipping it will hit 70 US cents by the end of 2003.

This year's steady gains can be viewed as a vote of confidence in the domestic economy, although a key factor in the recent gains has been the weakness in the US greenback.

By late today the Australian dollar was buying nearly 66 US cents, compared with less that 53 US cents on average through 2001.

This is great news for overseas travellers, at least those not scared off by the SARS virus or by the threat of suicide...