Under normal circumstances there is a strong correlation between the price of commodities and the strength of a commodity-linked currency. As we have previously reported, when crude oil prices weakened in late 2018 the Australian and Canadian dollars both experienced double digit falls.
But a JPMorgan research note published on May 7 pointed to a significant decoupling of commodity FX (based on a basket of currencies that includes AUD, NZD, CAD, NOK, BRL, RUB, ZAR, CLP, COP, PEN, and MXN) from commodity prices this year.
Access intelligence that drives action
To unlock this research, enter your email to log in or enquire about access
