Australia, NZ dollars on a wild ride as inflation risks mount

SYDNEY, March 8 (Reuters) – The Australian and New Zealand dollars were edging higher again on Tuesday as wild swings in oil prices made for erratic markets and analysts revised up expectations for rate hikes at home.

The Aussie was up 0.3% at $0.7340 , having been as high as $0.7440 at one point overnight before recoiling all the way to support at $0.7310.

The kiwi dollar added 0.2% to $0.6845 , after running as far as $0.6926 overnight before a pullback to $0.6822.

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The erratic moves came as the euro won a reprieve from a recent torrent of selling to steady around A$1.4790 , having been down as deep as A$1.4554 in very volatile trading.

While the Antipodeans were still drawing support from sky-high commodity prices, these also act as a tax on consumers and a brake on world growth that might not be positive for risk-sensitive currencies in the longer run.

JPMorgan, for instance, now sees global…

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