Five drivers point to more Australian dollar falls | | MacroBusiness

Greg McKenna (House & Holes) at Macrobusiness explains why the Aussie Dollar is falling:

Recently I posted that MB’s five drivers model for the Australian dollar was pointing lower. The dollar broke lower last night and appears biased for more. The five drivers are:

  • interest rate differentials;
  • global and Australian growth (more recently this has become more nuanced for the Aussie to be more about Chinese growth);
  • investor sentiment and technicals; and
  • the US dollar

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