By Candice Zachariahs Oct. 15 (Bloomberg) -- The Australian and New Zealand dollars fell as U.S. equities and commodity prices slipped on concern a $3 trillion dollar push to shore up the global financial system may not prevent a world recession. The Australian dollar retreated after yesterday's record gain against the yen as U.S. equities fell on speculation company earnings will weaken on slumping demand. The Australian and New Zealand currencies slid the first day in three versus the dollar as prices fell for commodities the nations export. ``Some of the euphoria of the last session has faded,'' said Greg Gibbs, a currency strategist at ABN Amro Australia Ltd. in Sydney. The Australian dollar ``found a near-term top around 72-odd overnight and we've come off in concert with a generally firmer U.S. dollar.'' The Australian dollar slid 4.4 percent to 69.11 U.S. cents as of 1:28 p.m. in Sydney, from 72.28 cents late in Asian trading yesterday. The currency declined 5.6 percent to 70.07 yen, from 74.19 yen. It surged 9.8 percent against the yen yesterday, the biggest gain since the Australian currency began freely trading in December 1983. New Zealand's dollar fell 3 percent to 61.44 U.S. cents from 63.34 cents late in Asia yesterday. It slid 4 percent to 62.40 yen. The Australian dollar has dropped 29.4 percent against the greenback and 31.7 percent versus the yen over the past three months as commodity prices tumbled and the turmoil in financial markets prompted investors to dump higher-yielding assets. New Zealand's currency has declined 20.3 percent and 22.9 percent against the dollar and the yen, respectively. Stocks, Commodities The currencies also fell as the Standard & Poor's 500 Index pared Monday's biggest one-day advance since 1939 and the Dow Jones Industrial Average trimmed its best rally since 1933. PepsiCo, the world's second-biggest soft-drink maker and largest snack producer, fell 12 percent after posting lower-than- expected profits and cutting its forecasts. The UBS Bloomberg Constant Maturity Commodity index of 26 raw materials fell in New York trading. Gold, Australia's third- most valuable raw material export, fell for a fourth session in New York. Raw materials account for 60 percent of Australia's exports and 70 percent of New Zealand's. Australia's Aaa sovereign debt credit rating will not be affected following the government's decision this week to guarantee deposits and banks' term funding, Moody's Investors Service said in an e-mailed statement. Economy Is `Strong' Prime Minister Kevin Rudd said on Oct. 12 his government will guarantee all deposits with financial institutions for the next three years to bolster confidence in the banking system. The government will also guarantee all ``term wholesale funding'' by Australian banks operating in international credit markets. The nation's financial system and economy remain ``strong,'' Rudd said in an address to the National Press Club in Canberra today. Australian government bonds rose for the second day. The yield on the benchmark 10-year note fell 7 basis points to 5.373 percent, according to data compiled by Bloomberg. The price of the 5.25 percent security due March 2019 advanced 0.555, or A$5.55 per A$1,000 face amount, to 99.024. A basis point is 0.01 percentage point. New Zealand's two-year swap rate, a fixed payment made to receive floating rates, fell to 6.425 percent today from 6.485 yesterday. To contact the reporter on this story: Candice Zachariahs in Sydney at czachariahs2@bloomberg.net

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