That is the theory. The likes of BHP, Woodside profits will degrade by the amount of USD drop. The end impact will be a drop in Aussie dollar value and this will mitigate some but not for our other major trading partners as their goods will increase.
As muted recently, some countries are looking at changing out of USD trade currency to stop any depreciation impact. Perhaps Euros and ultimately Yuans.
Cheers, B8
