Aussie dollar rises after US rates call

The Australian dollar opened higher today  after the US Federal Reserve kept interest rates on hold overnight.

At 7am AEDT (9aam NZT), the Australian dollar was at $US0.9182/86, up 0.29 per cent from yesterday's close of $US0.9155/57.

Since 5pm AEDT last night, the Australian unit traded between $US0.9120 and $US0.9184.

OzForex corporate dealer Darren Richardson said the prospect of interest rates remaining low in the US had given the Australian dollar strong support.

"The market has reacted pretty positively to the news and seen the Aussie dollar strengthen 60 points," Mr Richardson said from Toronto.

The Federal Reserve announced overnight it would maintain its near zero benchmark interest rate, saying it expected to hold the "exceptionally low" rate "for an extended period".

"We are sitting at technical resistance levels of US$0.9180," Mr Richardson said.

"We haven't been able to get above this level substantially for the last two weeks so that will probably provide a bit of intra-day resistance for the Aussie dollar."

He said dwelling commencement figures to be released during the domestic session were unlikely to affect the local unit.

"Markets will most likely look at sentiments through commodities and equities to provide direction in the Aussie."

He predicted the local currency would remain supported up to a level of US$0.9200 during the domestic session.

- AAP