The AUD remains on a high against the USD but down against the Pound (GBP)

In short

1. The AUD/USD remains close to a 4-week high against the US dollar at 0.6860
2. The AUD/GBP continues to weaken as the British Pound gets stronger
3. China leaves rates on hold

The Australian dollar continued higher on Tuesday as a weaker US dollar helped it to a fresh 1 month high at 0.6860.

As the US and China come closer to ending the trade war, markets have been selling US dollars (making it weaker) and buying so-called 'riskier' currencies like the Australian dollar (AUD), helping the AUD/USD move up.

The AUD/USD has now improved nearly 3% since the start of October when it hit a 10 year low below 67 cents.

It's not all one way traffic for the Australian dollar though.

The AUD/GBP continues to head down. As a 'soft Brexit' seams more likely the British Pound (GBP) has been getting stronger against most major currencies including the Australian dollar.