Currency Note Worldwide

Commodity backed currencies suffer as US tapers

By Ricky Bean December 19th, 2013

Elsewhere, the Japanese yen weakened following data showing an increased trade deficit that saw the yen fall against the Pound. A 17th consecutive month of trade deficit combined with positive news for global stocks that drew investors away from the safe haven currency. The Australian dollar continued its fall to a four year low against the pound driven by the continued appetite from the Reserve Bank of Australia for a weaker currency to promote trade to boost the economy. The Canadian dollar weakened for a third consecutive day as US 10-year Treasury note yields rose amid speculation over proposed tapering of US government bond purchasing. The Canadian dollar is the most inversely linked currency to U.S. Benchmark Yields meaning that when yields rise, the currency falls. Overnight we saw the release of GDP data from New Zealand and late tonight we have the bank of Japans Monetary Policy Statement and press conference, Call you trader for now for a live update on the market.