Australian Dollar Featured Article Iron ore price

Australian dollar recoupled to iron ore

Thursday, 27 February 2014

The SMH blog has a chart today showing a recent re-coupling of the Australian dollar and iron ore price:

I noted yesterday that there has been a de-coupling of iron ore equities from the price and the renewed flexibility in the currency will be a factor. It is only mitigating, however, not curing, with the recent de-coupling still unusual in the past twelve months when the currency began to fall:

About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.