Stormz

Just wondering what other currency(ies) the Aussie Dollar is linked to in the world. I think someone told me it got stronger the weaker the US $ but can`t remember.

Quinkana

Perhaps you mean $Canadian and $New Zealand - the "commodity currency triplet" in the eyes of many current curency traders.

ABCDiamond

I'm not sure that any currencies are actually "linked" to any other.

They are more linked to interest rates than anything else. eg: If Australian interest rates go up, more foreign currencies will come into Australia making the AUD worth more in relation to the other countries currencies.

There are other factors, but I think this is one of the main ones.

bondipom

AUD contracted some of the so called Asian contagion in 97/98. The main indicator to look for is commodity pricing. Australia is a net oil exporter and the $50 barrel is boosting the AUD.

USD is plunging due to Bush's profligacy and inability to realise the damage his spending is doing to the US and potentially the world economy.