Gold has been undermined by rising government bond yields owing to major central banks generally turning more hawkish while the still-buoyant equity markets means there has been reduced demand for the perceived safe haven asset. Thus, for the time being, the impact of the weaker U.S. dollar is not having any meaningful impact on the buck-denominated precious metal.
Once the impact of the crude oil price sell-off wears off, the Australian dollar/Canadian dollar currency pair could resume its bearish trend as market participants focus on the divergence on monetary policy between Australia and Canada.
The Aussie/Japanese yen (AUD/JPY) currency pair has bounced strongly off a key support level today, suggesting that the recent downward trend may have come to a halt, at least for the time being anyway.
Once again, the AUssie/U.S. Dollar (AUD/USD) currency pair is back, banging its head against the ceiling around that 0.7730-80 resistance range. Relative to other major currencies, though, the Aussie has performed rather well in recent times. So, it may finally clear this resistance zone at the umpteenth time of asking.