AUD/CAD Gap +21.5 Updated 1 Oct, 04:18 UTC

AUD/CAD: the macro gap

On the Macro Currency Strength Meter, the Australian Dollar scores +13 and the Canadian Dollar scores -9 — a gap of 22 points in favour of the Australian Dollar. The widest divergence is in interest rates, which favours the Australian Dollar. All else equal that gap is a fundamental tailwind for the Australian Dollar against the Canadian Dollar — though markets may already have priced much of it in.

AUD/CAD STRENGTH GAP1Y · BASE MINUS QUOTE0+22+64-7+22 AND HOLDING
AUD minus CAD, composite macro score over the past year. Above zero, the AUD side carries the edge; below, the CAD.
Strength gap
+21.5
Stronger side
AUD
Edge is
Holding steady
Scores
+13 vs -9

Factor by factor

Positive is stronger relative to the other majors, not in absolute terms. The gap column is AUD minus CAD.

FactorAUDCADGap
Interest Rates +31 -33 +63.8
Growth -41 -20 -21.3
Positioning +30 +3 +26.4
Risk Mood +24 +15 +9.8
Commodities +15 +16 -1.0
Advertisement