It was a rough session for the Aussie dollar, which fell hard in the wake of a dismal jobs report.
Via FinViz, here’s the last day. You can see the hard plunge last night. It’s also taken another leg down this morning.
The weakness is far from a recent phenomenon. The currency has gotten crushed since last Spring, and has been really falling hard in the last few months.
Here’s a longer look:
The decline in emerging markets and weakening demand for commodities (particularly out of China) has clubbed a key part of the Australian growth model,.
That being said, the volatile currency works in favour of the country, helping to automatically adjust things when the trade situation is becoming unfavorable. In other words, when exports are weak, the currency automatically weakens to help make exports more competitive.