Why has AUD been dropping?

While there are multiple factors impacting the value of the Australian dollar, one of the key factors in 2023 has been falling commodities prices. Falling prices have been prompted by China's slower than expected economic recovery after the pandemic. And with commodities exports a major driver of the Australian economy and China our largest trading partner, this has seen the AUD weaken against other major currencies.

Is it a good time to buy Australian dollars?

It's extremely difficult to predict how any currency pair will perform in the future. Inflation, interest rate hikes and the threat of a recession all have the potential to impact currency values here and overseas, while economic developments in China can also have a significant effect on the AUD's performance. Ultimately, it's essential to do your own research and consider a wide range of factors before deciding whether or not to buy Australian dollars.

What currency is AUD strong against?

From a historical perspective, the Australian dollar has been strong in 2023 against currencies such as the Japanese yen, the South African rand and New Zealand dollar. Check currency charts that track exchange rates over an extended period to get a detailed view of how the AUD is performing.