Aussie, Kiwi Fall as Europe Elections Damp Risk Appetite

The Australian and New Zealand dollars dropped amid concern election results in France and Greece will derail efforts to resolve Europe’s sovereign-debt crisis, damping demand for higher-yielding assets.

The so-called Aussie slid to the weakest this year versus the greenback after Socialist candidate Francois Hollande was elected France’s president while Greek anti-bailout parties gained momentum. Australia’s currency was on track for its longest stretch of losses in nine months even after domestic reports showed gains in retail sales and building approvals. New Zealand’s dollar fell against its U.S. and Japanese peers as Asian stocks extended a global rout.