World commodity prices, especially gold prices, have a more important impact on the Australian dollar exchange rate. Australia is an export-oriented country, rich in gold, copper, aluminum, wool and other industrial products and cotton textiles, so the rise in the prices of these commodities will be conducive to the growth of the Australian economy and the rise of the Australian dollar exchange rate; On the contrary, it will have a negative impact and affect the decline of the Australian dollar exchange rate. This phenomenon has been proved many times in the past history. From the changes of gold price in recent years, we can see its influence on the rise and fall of the Australian dollar exchange rate. For example, three years ago, the price of gold continued to fall, not only falling below the integer level of $300/ounce, but also falling to the historical low of $254/ounce in the first half of last year, with a drop as high as 15%. At the same time, the corresponding Australian dollar exchange rate also fell sharply. From the weekly K-line chart of the Australian dollar against the US dollar, it is found that the exchange rate of the Australian dollar has dropped from the high point of 1999 three years ago to the historical low of 0.4773 in the first half of 2006, a decrease of about 30%.

Due to the terrorist attacks in the United States in the second half of last year and the tension in the Middle East since April this year, the safe-haven function of gold has once again played its special role. The price of gold accelerated from April this year and returned to the highest level of $330 per ounce in the past three years in early June. The Australian dollar exchange rate has been greatly stimulated, and driven by the strong gold price, it has also risen to the highest level in the past two years.

At the same time, the rise and fall of oil prices also have a great impact on the Australian dollar exchange rate. Therefore, investors should pay close attention to the changes of world commodity prices, especially the trend of gold prices, when buying and selling Australian dollars in foreign exchange transactions. Generally, when the gold price is relatively low, you can consider buying the Australian dollar on dips, while when the gold price is high, you should look for a higher exchange rate to sell the Australian dollar. (