Big Action in the Commodities Sector and Currencies - Westpac
In respect to the commodities sector's sell-off, analysts at Westpac explained that the AUD/USD fell steadily from the Sydney afternoon highs above 0.7640 to a New York low of 0.7520.
"While the US dollar rose against all G10 currencies over the day, AUD and CAD were weakest, -1.2%. (USD/CAD bounced from 1.3050 to 1.3200/10 as Brent crude oil closed -3%).
The kiwi was a little firmer than AUD and CAD, NZD/USD falling from 0.6740 to 0.6705, with a low of 0.6683. AUD/NZD made a six-month high at 1.1334 during the London morning, but then fell about one cent over NY trade. AUD underperformance can be linked to the weakness in key exports gold (-2.3%), copper (-2.4%) and iron ore (-4.8% on May16 Dalian futures though only -0.8% on spot, to $57.87/tonne)."