News about the death of the leader of a communist nation in the Pacific region pulled down the monetary units of Australia and New Zealand, according to Bloomberg.
But the Kiwi's losses also are attributable to worries about euro zone leaders' troubles controlling the sovereign debt crisis. The Aussie's losses to 15 of its 16 rival currencies links to the
nation's Reserve Bank deciding to release minutes on Tuesday from the meeting it convened in December.
"There are obviously some uncertainties about the next leadership transition in North Korea and it triggers some concerns about the country's relationship with South Korea," strategist Lee Wai Tuck with Forecast in Singapore told Bloomberg. "Some risk aversion is happening at the moment, so investors are selling the Aussie, selling the kiwi, and buying back the dollar."
Both the Aussie and the Kiwi lost value to the Japanese yen as well.
Concerns about the death of Kim Jong Il are based on the nation he led now having no leader while also being a nuclear power, according to Dow Jones Newswires. The government of South Korea increased its military stance as a result of the leader's death.
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