Warning: Use of undefined constant referer - assumed 'referer' (this will throw an Error in a future version of PHP) in /usr/home/essaywo/public_html/essays on line 102

Warning: Use of undefined constant host - assumed 'host' (this will throw an Error in a future version of PHP) in /usr/home/essaywo/public_html/essays on line 105

Warning: Cannot modify header information - headers already sent by (output started at /usr/home/essaywo/public_html/essays:102) in /usr/home/essaywo/public_html/essays on line 106

Warning: Cannot modify header information - headers already sent by (output started at /usr/home/essaywo/public_html/essays:102) in /usr/home/essaywo/public_html/essays on line 109
The Australian Dollar - Online Term Paper

The Australian Dollar

Since hitting a low of $US0.5530 on 28 August, the AUD has recovered by over 17% to a high of $US0.6480 on 19 November. Several factors have been at work to boost the A$ against the $US over this time.
ˇ The RBA supported the A$ in late August-early September, as documented in the Semi-annual Statement of Monetary Policy (Nov 17, 1998).
ˇ A sharp weakening in the $US against the Japanese yen during September-October from 140 to a high of 113, settling into a 118 - 122 range.
ˇ Foreign (hedge fund) purchases of A$ in September-October to reverse previous 'short' A$ positions.
ˇ More recently, there have been broad-scale A$ purchases on the back of (1) Australia's economic growth ...

Want to read the rest of this paper?
Join Essayworld today to view this entire essay
and over 50,000 other term papers

friend", all the fundamentals must be taken into account in the longer term. The fundamentals currently being overlooked (which we feel will come to matter) are (1) the outlook for commodity prices; (2) the extent of the Asian recession, (3) the path of the current account deficit deterioration and (4) the prospects for interest rates.
Despite some success in diversifying the export base away from near complete reliance on primary commodities, Australia remains one of the world's most commodity dependant economies, and hence the term "commodity currency" for the A$,. Recent data confirms that primary products account for around half of total exports of goods and services, with total manufactures at 25%, and services accounting for around 23%.
There is considerable uncertainty over commodity prices. Prices for many commodities are at their lowest levels for several years. While there is considerable anticipation in some markets for price improvements for individual commodities, ...

Get instant access to over 50,000 essays.
Write better papers. Get better grades.

Already a member? Login

CITE THIS PAGE:

APA
MLA
Chicago
Turabian

The Australian Dollar. (2006, May 4). Retrieved January 23, 2026, from http://www.essayworld.com/essays/The-Australian-Dollar/45390

"The Australian Dollar." Essayworld.com. Essayworld.com, 4 May. 2006. Web. 23 Jan. 2026. <http://www.essayworld.com/essays/The-Australian-Dollar/45390>

"The Australian Dollar." Essayworld.com. May 4, 2006. Accessed January 23, 2026. http://www.essayworld.com/essays/The-Australian-Dollar/45390.

JOIN NOW

Join today and get instant access to this and 50,000+ other essays

PAPER DETAILS

Added: 5/4/2006 05:44:57 AM
Category: Economics
Type: Premium Paper
Words: 615
Pages: 3

Save |

Report

SHARE THIS PAPER

SAVED ESSAYS

Save and find your favorite essays easier