The recent rise in the AUD is mostly due to the rising iron ore price.
So why didn't the AUD rise during the last time iron ore spiked in 2018 & 2019?
This is because of the declining interest rate differential with the United States (Aus bonds yields - US bond yields) which has now been restored after recently going negative.
So why didn't the AUD rise during the last time iron ore spiked in 2018 & 2019?
This is because of the declining interest rate differential with the United States (Aus bonds yields - US bond yields) which has now been restored after recently going negative.