Currencies don't live alone. Other markets constantly send them signals.
Gold ↔ USDOften inverse: weaker dollar, stronger gold
Oil ↔ CADHigher oil tends to support CAD
Yields ↔ USD/JPYRising US yields often lift USD/JPY
Stocks ↔ JPYStocks falling hard: yen often strengthens
Key links
- Gold and USD: often inverse. Weaker dollar, stronger gold.
- Oil and CAD: Canada exports oil, so higher oil tends to support CAD.
- Bond yields and currencies: rising US yields often support USD, especially against JPY.
- Stocks and risk: falling stocks often mean risk-off, which can lift JPY and CHF.
Pro tip
These relationships change over time. Check whether they're holding right now before relying on them.
Wick says
Markets are a group chat. When oil sends a message, CAD usually replies.
Key takeaways
- Watch gold, oil, yields and stock indices.
- Commodity currencies follow their commodities.
- Relationships shift; always check current behaviour.