Aussie dollar cracks 76 US cents as currency booms on jobs data

The Aussie dollar has extended its current rally, hitting a two-and-a-half year high after the government revealed a speedy economic recovery from the COVID-19 pandemic.

As of 7pm AEDT the Australian dollar was buying 76 US cents, marking a level not seen since June 2018.

The lowest point reached during the pandemic was around 56 US cents in the middle of March.

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Many speculate that better-than-expected unemployment data and a revised budget deficit are driving heavy investment into Australian forex and stocks.

Today the government revealed in a budget update that the nation's deficit would be $24 billion lower than expected, coming in at $197 billion or 9.9 per cent of GDP.

Treasurer Josh Frydenberg has said the Australian economy is rebounding strongly after enduring what he described as the "biggest economic shock since the Great Depression".

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"Following the biggest economic shocks since the Great Depression, Australians are back spending and they are back working, and they are back moving freely across the nation," the Treasurer said.

"Eighty-five per cent of the 1.3 million Australians who either lost their jobs or saw their working hours reduced to zero at the start of the crisis are now back at work.

"With 734,000 jobs created over the last six months the labour mark has performed better than we expected."