The spread between Australia and US 10-year benchmark yields hit the lowest since the 1980's earlier this week
And the narrative is continuing to support a lower AUD/USD. With the RBA set to be on hold for what seems to be an indefinite period and the Fed diverging away by hiking rates further, the 21 basis points in favour of the US yields now would only increase as time goes by.
If the direction in the yield spread is anything to go by, then the aussie is set for more pain against the dollar surely.
