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The Australian dollar (AUD) is extending recent gains after Reserve Bank of Australia (RBA) Governor Glenn Stevens was quoted saying it was understandable that investors were buying the currency given strong fundamentals and that under one scenario it could trade significantly higher. Having taken out the 0.90 level, AUD-USD has accelerated higher, breeching 0.92 on Thursday. The next important resistance level is 0.9330, ahead of the major high at 0.9849 from 16 July 2008. Widening interest-rate spreads are supporting the AUD following the RBA‟s rate hike this month. Moreover, RBA comments this week have further widened those spreads. Currently, the market is looking for a total of 211bps in rate hikes by the RBA over the next 12 months compared to 182bps on Wednesday.