AUD/CAD: the macro gap
On the Macro Currency Strength Meter, the Australian Dollar scores +20 and the Canadian Dollar scores -4 — a gap of 24 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.
Strength gap
+24.0
Stronger side
AUD
Edge is
Narrowing
Scores
+20 vs -4
Factor by factor
Positive is stronger relative to the other majors, not in absolute terms. The gap column is AUD minus CAD.
| Factor | AUD | CAD | Gap |
|---|---|---|---|
| Interest Rates | +65 | -24 | +89.5 |
| Growth | -37 | -28 | -9.6 |
| Positioning | +23 | +30 | -7.2 |
| Risk Mood | +32 | +19 | +12.6 |
| Commodities | -10 | -1 | -8.8 |
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