| The pressing problem for some resource-rich countries isn't that prices for commodities have dropped sharply, it's that their currencies haven't dropped in tandem. The plight of Australia and Indonesia, the major commodity exporters in the Asia-Pacific region, is driven home by the fact that their currencies have actually gained against the U.S. dollar this year, even as commodity prices have plunged.
This is a body blow to earnings in those countries and defies both economic logic and precedent, which should have seen the Australian dollar and Indonesian rupiah start to drop as revenue from resource exports declined...............................................Full Article: Source
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