The Australian dollar has broken to new lows today as global stock markets and commodity prices plummet.The Aussie is considered a commodity-based, higher risk currency and today's developments did nothing but scare traders away.
"Renewed risk aversion and weaker equity and commodity prices weighed on the AUD," said Patricia Gacis, strategist with ANZ Bank.Sydney's ASX is now trading down by over 2% on the day after Wall Street closed in the red. Meanwhile, nymex crude oil fell by over 8% down to $37.31 per barrel.
Since the Wall Street open, the currency has lost over 1 cent against the U.S. dollar to trade at 67 cents U.S. The fall comes after a New Year rally which saw the currency climb as high as 72 cents U.S. on Jan. 7.
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