Currencies of Commodity Exporters Drop on China Outlook

Currencies of commodity-exporting nations dropped as a gauge of raw materials slid to a five-year low on speculation demand will drop after China signaled slower economic growth.

The Australian dollar sank to a seven-month low against its U.S. counterpart, dropping against most of its 31 major peers, while South Africa’s rand and Brazil’s real weakened. The euro pared gains as European Central Bank President Mario Draghi said the region’s recovery is losing momentum. The pound climbed. Federal Reserve Bank of New York President William C. Dudley said a sharply stronger dollar could hamper U.S. central-bank efforts to spur growth.