Australian dollar to crash into depressflation

Thursday 19 March 2026

DXY is threatening to break out as oil passes $110.

AUD cannot hold up here if this continues. JPY is in freefall. China will be next as EM stocks reverse violently.

Never trust gold in a crisis. It nearly always tanks. Oil is filling the $120 gap. It remains my view that it could go to unimaginable highs before we are done.

The full text of this article is available to MacroBusiness subscribers

$1 for your first month, then:

$24.99 / month

$249 / year

Cancel at any time through our billing provider, Stripe

About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.