Case in point: U.K. Chancellor George Osborne said the U.K. is ready to rebuild its foreign-exchange reserves with a range of high-quality assets, but wouldn't be replenishing gold reserves because of its very high price.
Even with the market on edge over Europe's debt problems, Japan's nuclear crisis following the massive earthquake and tsunami, and violent social strife in the Middle East and North Africa, the Australian dollar has been rising steadily, up 0.9% over the past month and up 2.2% over the past three months against its U.S. counterpart.
The CurrencyShares Australian Dollar Trust (FXA) was rising 0.3% to $102.79, the Index IQ Australia Small Cap ETF (KROO) was adding 0.8% to $29.44 and the iShares MSCI Australia Index Fund (EWA) was advancing 0.5% to $25.78 in afternoon trading.
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