Sterling vs Australian Dollar exchange rates hit 2 month high to buy Australian Dollars (Tom Holian)

During the course of the week the Pound has hit its best level to buy Australian Dollars since early March or a 2 month high.

The recent movement for the currency pair has been very swift moving by over 8 cents in just a week.

With the UK now looking less likely to leave the European Union when the EU referendum takes place on 23rd June and comments from President Obama confirming that he clearly wants the UK to stay then this has given the Pound a lift against all major currencies.

Next week the Australian Budget is released and this is almost seen as a last chance saloon for Turnbull. The news comes on Monday and millions of workers are likely to be offered small tax cuts that will start on 1st July. This will be used in attempt to support the economy as fears are apparent down under of a slowdown.

However, this will also be used as an attempt by Turnbull to curry favour as the likelihood is that the Australians will then go to the polls over the next few weeks.

With this recent uncertainty for Australia this is one of the key reasons why the Australian Dollar has weakened with GBPAUD rates having hit 1.92 during the week.

On Tuesday the Reserve Bank of Australia will announce their latest interest rate decision and although I don’t expect any change in policy the announcement is likely to cause a great deal of volatility as it comes so close to the Budget release.

My overall prediction for next week for Sterling vs the Australian Dollar is further Sterling strength against the AUD providing some even better opportunities to buy Australian Dollars.

If you have a currency transfer to make and want to save money on exchange rates compared to using your own bank then contact me directly for a free quote. Tom Holian teh@currencies.co.uk 

 

 

 

Selling Australian Dollars?

The pound has seen a rapid turnaround against the Australian dollar moving almost 10 cents higher over the last week. For anyone selling Australian dollars the rates are still attractive but we have now lost that real edge seen over the last fortnight. The price of oil has suddenly risen to a 5 month high which has had an impact on the Australian dollar. As the price of oil rises it highlights an improved global economic outlook and the Aussie is one currency that fares better when the global economy is performing. Higher oil prices will also filter into higher inflation in the UK which is turn will become positive for sterling.  I wouldn’t expect this higher oil price to be permanent however and there have been big fluctuations in the oil price over the last few months. This is not the start of a global boom!

On the sterling side of things the perceived increased likelihood that Britain will remain in the EU following a number of economic forecasts by some credible bodies and the pressure from US president Barack Obama after his recent trip has clearly had an impact on sterling which has seen strong gains across all of the major currencies. For anyone buying Australian dollars or any other currency this has created an excellent opportunity although that rally may well now be running out of steam.

Considerable more headwinds are expected in the UK as the vote Leave campaign gathers momentum so buyers may wish to take advantage of the sharp spike whilst it is still there. There are a handful of data release tomorrow in Australia ahead of the Bank Holiday weekend in the UK including business confidence figures and producer inflation numbers which may add some direction.

If you have an upcoming GBP or AUD currency requirement either buying or selling and would like to be kept up to date with key market movements, or simply wish to compare our award winning exchange rates then please feel free to contact me on 0044 1494 787 478 and ask one of the team for James. Alternatively you can email me directly at jll@currencies.co.uk

Buying Australian Dollar rates see serious spike (Joshua Privett)

GBP/AUD rates moved back above 1.90 overnight following incredibly low inflation figures for the Australian Economy. Buying rates for Australian Dollars are now at 6 week highs following what had been a sustained negative run on GBP/AUD since the start of February.

Waking up to the news and saying this was a surprise is an understatement.

Inflation rates are a key indicator to the health of an economy and current spending activity, and these are largely used to inform interest rate decisions by the likes of the Reserve Bank of Australia.

The potential for a cut in rates has been on the cards for a while, but for more than 10 months this is something which was talked about but never acted on. When markets saw that inflation levels turned negative for the first time this year at -0.2%, rather than the stable 0.3% expected, this caused concern that this may be revisited once more.

However, I feel that markets have overreacted heavily to the news.

Similar to the UK who recently had an improvement in inflation due to an early Easter creating increased prices for air fares (skewing the data released in a more positive direction), with the Australian economy winding down from the high tourist season this is likely the same reasoning behind this sudden fall.

The Australian economy has been performing very well in most other areas which are reflective of a more stable trading partner in China and a boost to the commodity markets from their absolute lows in February.

Frankly, buying rates for Australian Dollars would have improved even further if the news about the UK’s poor growth in the first few months of this year hadn’t balanced out the weakening effect on the Australian Dollar throughout the day.

Rates were already starting to trickle down from their highs as trading continued into the afternoon, and with the Referendum coming into greater focus in May, Australian Dollar buyers may be wise to seize these recent gains, bearing in mind that as GBP/AUD rates were touching on the 1.7’s a very short time ago.

I strongly recommend that anyone with an Australian Dollar buying requirement should contact me on jjp@currencies.co.uk in the wake of this sudden turnaround to discuss a strategy for your transfer in order to maximise your Australian Dollar return.

I have never had an issue beating the rates of exchange offered elsewhere, and even if you do not require your Australian Dollars for a few months this current gift on the currency markets can actually be fixed in place ahead of any future transfers, to avoid the expected falls as we edge closer to the Referendum.

I will reply personally following the opening of markets tomorrow morning detailing what the expected trends are for the day and whether any peaks may still be expected. Simply detail your requirement, and the best number to reach you on, and we can have a brief conversation in the morning which could save you thousands of Pounds.

Australian Dollar sellers can do the same, and we can have a conversation about how this recent movement has effected any short term plans you may have and how these can be managed.

GBPAUD at 1 month high over 1.91!

Finally Australian dollar buyers have some good news with the rate spiking over 1.90 recently. If you have any transfers to consider buying Australian dollars this is some very much welcome news to take advantage of.  In my opinion the pound will come under further pressure in the next few weeks as we approach the Referendum date for the UK.

Why have rates improved? Overnight Australian Inflation data came out worse than expected showing Inflation is falling with the Quarter on Quarter figure showing a deflationary figure of -0.2%. This makes any interest rate cuts more likely as has had a big impact on the Aussie dollar which is much weaker against all currencies on this news. It essentially brings forward any possible interest rate cuts. The pound too is performing very well as more support leans towards the Leave camp in the EU Referendum. Sterling is enjoying a 10 week high on a trade weighted basis which is fueling demand for the currency.

Despite this improvement there is still many weeks of worry ahead with the EU Referendum. The outlook is very uncertain and as a result as we approach the event sterling is likely to come under pressure. If you are buying or selling Australian dollars understanding the market is key to getting the best deal. We are here to help not only with the very best rates of exchange but also assistance with the timing and planning of any currency exchanges.

For more information on a rate comparison and what will move your rate please email me Jonathan on jmw@currencies.co.uk

 

AUD remains under pressure with GBPAUD now approaching 1.90

Sterling sellers have benefited from a recent surge in the value of the currency, with GBPAUD levels now closer to 1.90 than 1.80 as I predicted last week on this blog, the link can be found here http://www.australiandollarforecast.com/2016/04/21/4577/

Interestingly, the previous resistance of 1.8600 gave little of a fightback, and now we have a central level of 1.8850. Personally I think this is an indication that we are witnessing Sterling make a turnaround for a number of reasons which I’ll come onto in a moment, and I think we should now take the claims of the Aussie Dollar being overvalued seriously.

Sterling has climbed against AUD as well as all other major currencies over the past week, and this has predominantly been down to improved sentiment towards the UK politically and economically, as world leaders such as US President Barack Obama, IMF Managing Director Christine Lagarde and the Governor of the Bank of England, Mark Carney have all offered their support to the ‘Remain’ campaign and highlighted the risks towards the UK moving forward should the public opt to leave.

As the polls covering the anticipated vote point to a ‘Remain’ lead, the political uncertainty surrounding the UK is weakening and this has been reflected in the strengthening Pound.

I would think that those looking to convert Australian Dollars into Pounds should consider doing so sooner as opposed to later as GBP has fallen a great deal since the beginning of the year, and the chance to take advantage of that drop is still available although for how long remains to be seen.

Additionally, those looking to convert Sterling into Australian Dollars may wish to watch the rates closely or at least get in contact with us and ask for us to monitor the rates for them, as this may be the beginning of a turnaround for Sterling but at the same time, should the polls suddenly change, it’s likely that Sterling’s fortunes will as well.

If you are considering making a currency conversion involving the pairs I’ve written about today, it’s worth your time getting in contact with me either by telephone on 01494 787 478 or by email through jxw@currencies.co.uk as I work for one of the UK’s longest standing specialist foreign exchange brokerages. We offer rates of exchange that are far better than those of a high street bank, and provide a straight forward, regulated service of our clients.  

Sterling continues its recent rally vs the Australian Dollar (Tom Holian)

Sterling Australian Dollar exchange rates have continued to move in an upwards direction owing to the recent change in sentiment concerning the EU referendum.

President Obama, Bank of England governor Mark Carney, the IMF and UK government have all spoken out in favour of staying in the European Union and this has helped restore confidence in Sterling.

Sterling exchange rates have increased against all major currencies and GBPAUD exchange rates are now at their highest point since March.

Tomorrow morning Australia releases its own set of inflation data and this could set the trend in the short term for what may happen next concerning Sterling vs the Australian Dollar. UK inflation has recently been measured at 0.5% which was better than expected.

With the Australian budget due to take place in the next couple of weeks this could cause a bit of uncertainty for the Australian Dollar and Malcolm Turnbull may also announce an early election.

Recently in the polls he has been struggling and if an early election does get called which could take place as early as July I think we could see the Australian Dollar weaken vs Sterling creating some better opportunities to buy Australian Dollars in the near future.

If you have a currency transfer to make and want to save money on exchange rates compared to using your own bank then contact me directly for a free quote. Tom Holian teh@currencies.co.uk

 

 

Obama’s stance on “Brexit” causes much needed Sterling rally

The Aussie has been extremely resilient of late with a host of positive data from down under. Glenn Stevens the Head of the Reserve Bank of Australia has remained bullish despite a recent slow down in Chinese growth data. We have seen a rise in Sterling strength due to a swing in the polls in favour of the UK remaining in the EU. This was due to Barack Obama stating that a new trade agreement between the UK and the US would not be a priority if a “Brexit” were to occur. I think this rally could be short lived, . Wednesday at 01.30 will see Consumer Price Index (CPI) figures released. CPI is a measure of inflation and increase in inflation as seen as positive for an economy. It gives an indication as to the health of an economy and as such can cause volatility on the exchange. I feel the trend of recent positive data releases will continue and the Aussie will rebound against early week losses. If you are an Aussie Dollar seller however, I would be looking to move before the EU referendum on 23rd June. Keep in mind six months ago GBP/AUD had buoyancy levels around the 2.20 mark. If the UK remain in the EU I expect the days of the 1.80s to become a distant memory.

If you have a currency requirement I am happy to provide an individual trading strategy and I will provide a free quotation. I am in a position to beat high street banks by as much as 5%. Please do get in touch by e-mailing me at dcj@currencies.co.uk.

Where next for GBPAUD exchange rates? (Dayle Littlejohn)

With the remain ‘In’ campaign gaining momentum and US President Barack Obama in the UK at present also rallying votes for the UK to remain part of the European Union, I wouldn’t be surprised to see GBPAUD exchange rates fluctuate in the higher 1.80s until the end of the month.

Further to this Malcolm Turnbull is likely to hold an election in July and his latest budget is due in the next few weeks, which is set to weaken the Australian Dollar.

However it’s only a matter of time until the Pound weakens due to EU referendum volatility. The question is which economy is weakening more than the other? I expect rates to fluctuate in the 1.80s for the foreseeable future therefore trading on the back of spikes in your favour is a wise strategy.

Data releases to look out for this week are AUD Consumer Price Index numbers early Wednesday morning and UK GDP numbers later in the morning.

The currency company I work for enables me to achieve clients up to 5% better exchange rates than the high street banks and other brokerages. I specialise in property purchases and sales. Therefore if you are buying or selling a property and want to save money by achieving the best possible exchange rates but also want help in timing your transfer, get in touch by emailing me on drl@currencies.co.uk.

The more information you provide me, the more information I can provide you, I require, your name, brief description of requirement, amounts, your budget, timescales, telephone number and convenient time to call.

Sterling vs the Australian Dollar continues its rally as predicted (Tom Holian)

Sterling vs the Australian Dollar has seen its biggest gains in weeks as the Pound ended the week on a high against all its major currency pairs.

Inflation has started to rise in the UK and with the Brexit fears having put GBPAUD rates on the back foot in recent weeks then this week’s change in sentiment has helped to provide the Pound with some solid gains.

President Obama, the ECB and the Bank of England governor Mark Carney have all spoken out in favour of the UK remaining in the European Union and with such support it seems difficult to see the UK not remaining in the EU when the vote takes place 2 months from today.

However, we are still in a period of uncertainty and until we have the conclusive results then expect GBPAUD rates to remain uncertain.

Over the next fortnight Malcolm Turnbull will announce his next budget and with an election likely to be called by early July then we could also see the Australian Dollar struggle to remain at these levels.

In Japan they are considering cutting interest rates as well as adding more Quantitative Easing.

The effect this has on the Australian Dollar could be negative as it shows one of the world’s strongest economy struggling and therefore this decreases investor appetite in riskier currencies including the Australian Dollar.

Therefore, we could see GBPAUD rates move in an upwards direction when the Bank of Japan meets on 27-28th April.

With ANZAC day being celebrated on Monday I wish all my regular readers a pleasant day off if you’re not working.

Having worked in the currency markets for 13 years I’m confident of not only offering you better exchange rates but also help you with the timings.

If you have a currency transfer to make and want to save money on exchange rates compared to using your own bank then contact me directly for a free quote. Tom Holian teh@currencies.co.uk

 

 

GBP/AUD sees rise after Obama visit (Joshua Privett)

Today saw some serious gains for Australian Dollar buyers today, with GBP/AUD moving up by more than 3 cents from the absolute lows to begin today.

The thanks for this can be lain squarely at the feet of Barack Obam’s current and final visit to the UK, and the increased confidence brought to markets that the UK will be avoiding a potential Brexit.

Obama is more popular than the UK’s own PM in the UK surprisingly, and his presence and pleading for the UK to remain for the sake of the international community, is expected to result in further votes for the Remain camp.

Well, this is what the consensus currently is in the currency world and this is what caused the reaction on GBP/AUD rates of exchange.

Unfortunately for Australain Dollar buyers this is likely to be short-term fanfare rather than any true change in the current uncertainty surrounding the Referendum, and therefore on recent trends for buying AUD rates.

The most recent polls do suggest that the camps are still neck-and-neck, with the key fact that 12% of the population are still undecided to continue to feed market uncertainty and Pound sell-offs in the run-up to June.

Furthermore, the recent gains in Australian growth, the slight recovery in the commodity markets, and a more stable China will continue to feed Australian Dollar strength against the Pound which has been a constant factor since February.

The next piece of data will come out late on Monday which will likely paint the Australian Dollar in this positive light, and begin the continued negative trend on GBP/AUD.

With the current volatility on GBP/AUD, further opportunities may present themselves on Monday to be seized before the data releases emerge.

I strongly recommend that anyone with an Australian Dollar buying requirement should contact me on jjp@currencies.co.uk directly over the weekend whilst markets are closed.

I can reply directly once markets open on Monday to discuss a strategy for your transfer based on the expected trends for the day which will be suggested to us from very early morning Asian trading. 

I have never had an issue beating the rates of exchange offered elsewhere. Simply email me with a brief description of your upcoming requirements over the next few months, and the best number to reach you on to discuss a strategy for your transfer that suits your needs, in order to mazximise your Australian Dollar return. Calling Australia is not an issue and I regularly do so following enquiries from my articles.