(This is an article I wrote for my paper in the 26 October 2010 issue. Click here to read the pdf version.)
ASIAN currencies with a strong upward bias – especially the Aussie dollar– and the Swiss franc which, like gold, has become a safe haven amid economic uncertainty, are the current themes on the forex market.
Red-hot Aussie
On Oct 15, the exchange rate for AUD/USD broke through parity for the first time since the Aussie was freely floated in 1983. The Aussie has had a remarkable year so far, having made the second-biggest advance this year – after the yen – among the world’s 16 most-traded currencies.
