Good afternoon I am doing an "analyst's report" for college on the AUD and would like people's opinion as to whether they think it is under or over valued etc and why?Thanks

It has been driven higher in recent times by a combination of factors:It is a commodity currency and commodity prices are very strong.Australian rates are higher and the RBA tightened todayWeakness in the GreenbackWhether it is over or undervalued you need to consider outlooks and critically Purchaing Power Parity. In the latters case the BIg Mac Index is a relatively pure measure.

7.35 overvalued, 8 undervalued, 8.42 overvalued, 9.01 undervalued..... well in intraday trading it all depends on the moment of the day

As an Aussie working overseas in the markets and getting paid in USDs, I would say that in my unbiased opinion the AUD is completely overvalued. Sell it back down to 50 cents I say, so I can go back to living on the northern beaches of Sydney and resume my life long support of Carlton breweries. What has happenned to Paul Keating?? Cant we get him out of retirement to tell the world about our huge current account deficit and warn people that we are in danger of becoming a Bananna Republic.A more interesting quant project for your college report would be measuring the correlation between the IQ of a country's politcal leader and the depreciation of its currency. Bush and the USD is a good starting point. Let me know if you need some data