FX Week

Pressure on commodity currencies

MARKET NEWS

LONDON -- They may have been the darlings of FX dealers in recent months, but the commodity currency outlook now looks bleak, analysts told FX Week.

The Australian dollar, among others, rose steadily in the first half of the year. However, fears over sluggish global economic growth and the possibility of a double-dip recession in the US have seen slippage in global commodity prices. Gold, for example, after rising to around $325 per ounce in late May, has fallen back to around $305 per ounce.