Australian dollar begins grand weakening

Wednesday, 4 February 2015

After yesterday’s shellacking post rate-cut, the Aussie rebounded strongly overnight in US dollar terms so I thought better make something of pre-emptive strike against zimmer-frame commentary that’ll no doubt tell us the cuts are having no effect.

Here’s the Aussie versus developing market currencies:

We’ve now got very solid downtrends in place against the US and Canadian dollars. Against the euro we’re weakening despite its QE and against the yen the rise at least been arrested.

The full text of this article is available to MacroBusiness subscribers

$1 for your first month, then:

$24.99 / month

$249 / year

Cancel at any time through our billing provider, Stripe

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.