The Impact of the Prices of Iron Ore Fines on the Currency Appreciation and Depreciation ofAustralian Dollar

• Main Authors: Kuo,Su-Tzu, 郭素孜
• Other Authors: Liu, Wen-Chi
• Format: Others
• Language: zh-TW
• Published: 2014
• Online Access: http://ndltd.ncl.edu.tw/handle/36936225767132069545

碩士 === 大葉大學 === 管理學院碩士在職專班 === 103 === The iron ore is closely linked with the nation’s economic development. The stock market tends to affect the country's economic construction and GNP, and then impacts the export performance of Australia. Iron ore is very important raw material exported in Australia. The amount of its exports will affect Australia's economic performance, and thereby affect the exchange rate. In this study, the unit root test and vector Auto-Regression model are used to explore the influence of the price of the iron ore on the fluctuation of Australian dollar. The data of iron ore are collected from New York Mercantile Exchange (NYMEX) in order to analyze the influence of iron ore on Australian dollar against the U.S. dollar exchange rate. Monthly data are used and the time span is from January 2009 to May 2014. Empirical results show that the significant medium and high contemporaneous correlation exists between the Australian dollar exchange rate and the price of iron ore, but their price returns doesn’t have a significant contemporaneous correlation.