Australian, New Zealand Dollars Complete Worst Year on Record

[formercia]

http://www.bloomberg.com/apps/news?pid=20601080&sid=a5D.Fb5QkwEs&refer=asia

Australian, New Zealand Dollars Complete Worst Year on Record

By Garfield Reynolds and Candice Zachariahs

Dec. 31 (Bloomberg) -- The Australian and New Zealand dollars fell, capping their biggest annual declines on record, as prices slid for commodities the nations export and investors dumped higher-yielding assets amid a worldwide economic slump.

The currencies in 2008 reached their highest levels against the U.S. dollar in more than 20 years before sliding in tandem with commodities, which account for more than half the countries’ exports. Oil prices fell yesterday, contributing to the steepest annual drop in raw-materials costs in more than half a century, after a report showed U.S. consumers are the most pessimistic they’ve been in at least 41 years.

“Commodity prices are off a bit after the weak consumer sentiment data in the U.S. refocused the market on the global slump,” said Adam Carr, a senior economist at ICAP Australia Ltd. in Sydney.

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Things are bad everywhere.