THE dollar was lower at noon as ongoing worries about Greece's public debt had investors off-load holdings of high-risk assets.
Atnoon (AEST), the dollar was trading at $US0.9309/12, down 0.34 per cent from yesterday's close of $US0.9342/44.
Since 7am (AEST), the local unit traded between $US0.9304 and $US0.9354.
Investor sentiment towards risk fell in Asian markets duringthis morning trade on continuing concerns about Greece's debt crisis.
Financial markets have been worried about a possible flow through to other Eurozone economies if Greece defaults.
Equity markets were lower today, with Australia's benchmark ASX/200 index down 0.46 per cent at 12.12pm (AEST), while Japan's Nikkei-225 index was 1.26 per cent lower.
"We are seeing a little bit of profit-taking across the board," currency dealer with online foreign exchanger trader Easy Forex, Tony Darvall, said.
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"There are concerns about Greece. Combine that with stocks and the market is testing the support side."
Debt markets firmed in morning trade. Demand for bonds, or safe-haven assets, typically rises when higher-yielding securities such as equities are weaker.
Mr Darvall forecast the currency to trade between $US0.9250 and $US0.9330 for the rest of today's domestic trade.
Meanwhile, the bond market was firmer at noon.
Atnoon (AEST), the yield on the Commonwealth Government April 2020 bond was 5.821 per cent, down from yesterday's close of 5.858, while the May 2013 bond was at 5.291 per cent, fown from 5.337.
On the Sydney Futures Exchange, the June 10-year bond futures contract was at 94.165, up from yesterday's close of 94.125, while the June three-year bond futures contract was at 94.610, up from 94.560 previously.
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