The AUD/JPY currency pair, which expresses the value of the Australian dollar in terms of Japanese yen, has fallen (in the past two weeks) by more than most other currency pairs. The relationship between AUD and JPY is important for markets, as AUD often correlates with risk assets, while JPY is correlated with risk-off activity.
This is because, on one hand, the AUD is a derivative of Australia's export exposures (a stronger global economy tends to support commodity prices, which increases the value of Australian exports, hence strengthening AUD). On the other hand, JPY strengthens