Commodity Currencies Hit Fresh Highs on Dollar Weakness

Dollar weakness has sent the commodity currencies skyrocketing to new multi-decade highs, which have become a near daily occurrence for the Canadian, Australian and New Zealand dollars. Gold and oil prices are up on the day which is helping, but most of the strength is coming from US dollar weakness since the data released from the three countries were actually bearish. Canadian consumer prices fell in the month of June, leaving annualized consumer prices at 2.2 percent while core prices remained flat.

Meanwhile Australian leading indicators weakened in the month of May, there was no economic data released from New Zealand. The outlook for the currencies will continue to predominantly dependent upon US data. Only Canada has the potential to move on its own accord with wholesale sales and international securities transactions due for release.