Sterling up against the Australian Dollar (Tom Holian)

GBPAUD exchange rates saw another rise up on Friday following the release of UK retail sales which were the best for over ten years.

The success of the recent Black Friday helped the figures to show a growth of 6.4% against the expected 4% rise. This marked improvement was great news for Sterling and anyone with a requirement to buy Australian Dollars at the moment.

UK GDP for Q3 is due out on Tuesday morning and this could see the Pound gain even further is the revision comes out positively.

The expectation for GBPAUD rates this side of Christmas are looking good so it may be worth getting something organised prior to the Christmas break.

As the price of iron ore has fallen to its lowest level in years and oil prices close to a 6 year low this is putting pressure on the Australian economy.

The recent jawboning by the RBA has suggested that a rate cut may happen in the first quarter of 2015 and with Goldman Sachs, Deutsche Bank and Westpac all wanting a rate cut this could weaken the Australian Dollar and we could see Sterling gain as and when the rate cut takes place.

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

 

 

Will GBP/AUD Rates Hit 1.95? (Matthew Vassallo)

It’s been a volatile few days for GBP/AUD rates, with the Pound gaining value for much of this period. GBP/AUD rates moved back above 1.90 following the Reserve Bank of Australia’s comments regarding another possible interest rate cut and the RBA’s commitment to lowering the AUD’s value in order to enhance their exports.

With a slowdown in China’s economy negatively affecting the Australian economy due to their heavy trade links and the very realistic prospect of the RBA cutting interest rates again early next year, we could find GBP/AUD rates heading 1.95 before long.  A word of caution however, as this is not the first time GBP has threatened to break the current levels and each time it has put pressure on it the AUD has found support and realigned back towards 1.85.

The Pound meanwhile has been boosted by the Bank of England’s decision to raise growth forecasts for the UK economy for 2015 and beyond and this mornings better than expected Retail Sales figures have only enhanced this positive sentiment.

If you have an upcoming currency requirement and would like to be kept up to date with all the latest market movements, or simply wish to compare our award winning exchange rates with your current provider, then please feel free to contact me directly on mtv@currencies.co.uk

GBPAUD continues to fall with more expected – GBPAUD FORECAST

Australian dollar continues to fall in value as commodity prices continue to fall. The Russian crisis and the massive devaluation of the rouble, which has lost over 15% this week and over 50% this year against the USD, is starting to impact risk appetite of traders. As they unwind CARRY TRADES in Australia the mass excess is creating AUD weakness and an opportunity for buyers. This is welcome news for the RSA which is constantly seeking a weaker dollar helping their exports become cheaper globally to buy. With further falls expected in the price of oil I would not be surprised to see the GBPAUD pairing climb further and challenge 1.95 in the near future.

Contact myself for more information and live prices, Steve Eakins, via email if needed which is hse@currencies.co.uk

GBPAUD Spikes to highest level in five years

Merry Christmas, not sure about you but I am finally starting to feel in a Christmas mood!

An early present for Aussie buyers today, GBPAUD spiked further above 1.90 as the Australian currency came under renewed pressures from speculators and traders. Simply put the Aussie is now being viewed as majorly overvalued and most analysts now expect the rate to weaken further in the New Year. Some of the key reasons for this monumental shift include:

– Sharply falling Oil Prices and commodity prices in general. The Aussie economy is heavily dependent on high prices for the raw materials it supplies to the world.

– Falling interest rates in Australia. With their base rate having been slashed in recent years to increase growth and combat the slowdown in China and the falling price of commodities (eg Iron Ore), the Aussie has become less attractive for investors.

The likelihood is this slide will continue into next year, if you haver Aussies to buy or sell making some plans now could save you a lot of money in the future. If you need to speak to someone about your options and strategies please contact me Jonathan jmw@Currencies.co.uk.

 

Australian Dollar Fights Back against Sterling (Tom Holian)

Sterling started the day hitting a new record high against the Australian Dollar briefly touching as high as 1.93 which triggered a lot of Limit Orders at these levels.

However, since that rate we have seen the Australian Dollar recover against the Pound now trading into the mid 1.91 levels.

With unrest in Russia this has caused a big sell off from riskier currencies including both the New Zealand Dollar and Australian Dollar as investors are concerned about the stability of the global economy. Indeed, with oil prices having dropped to a 5 year low this week this had also led to the Australian Dollar weakening.

The Reserve Bank of Australia has hinted that it wants the Australian Dollar to weaken in order to rebalance the economy which has shown signs of struggling recently.

Tomorrow, the RBA releases its bulletin which will reveal further information about economic and financial developments and this could signal further Australian Dollar weakness later this week.

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

 

 

When to BUY or SELL Australian Dollars

First things first – Our thoughts are with the family and friends of the victims of the Sydney café terrorist attack.

Aussie Dollar has already seen a fair swing today morning as after opening in the 1.9065 region, GBP AUD went back under 1.90 for several hours. Sterling has shifted quite erratically during the latter minutes of the morning following a surprise reduction in UK inflation (Consumer Price Index), now down to 1% against a target of 2%. However even though Sterling weakness would be expected for a sustained period, the Aussie has weakened further still to surprise levels of over 1.91. Morgan Stanley has lowered it’s growth forecast today for Iron Ore (Australia’s key export), hence the weakness. Morgan Stanley have indicated that the reduction in Iron Ore value could lead to mines being mothballed, potentially costing many people their jobs.

This is quite a bleak outlook for the short to medium term and coupled with the Reserve Bank of Australia’s temptation to raise interest rates, a very rocky start to 2015 can be expected. If you have a currency exchange requirement, please feel free to contact me directly on 01494 787 478 / AJB@currencies.co.uk

Oil Price and the effect on the Australian Dollar (Tom Holian)

Oil prices have this week fallen to their lowest levels in 5 years as Chinese demand slows and the global economy shows signs of a slowdown. With the problems in Europe and China there is becoming less demand for oil and therefore a fall in the oil price.

Historically speaking a fall in oil prices generally strengthens the US Dollar as it make it cheaper for the US to import oil and therefore allows the economy to grow. This USD strength also means that global investors flock towards to the US Dollar and sell off riskier currencies which includes the Australian Dollar.

This is one of the reasons for the recent weakening of the Aussie Dollar.

However, arguably more importantly many large banks have called for an interest rate cut recently which has added further speculation that the RBA may cut interest rates at their next meeting due to be held in February. Economist at Goldman Sachs, Deutsche Bank and Westpac have all suggested a 0.25%-0.5% cut which is why the Australian Dollar has hit 1.90 on occasion during the week.

On Tuesday morning the RBA releases its minutes from its December meeting and any hints of a rate cut could see GBPAUD rates rise.

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

 

 

Are GBP/AUD Rates Heading for 1.95 by Christmas? (Matthew Vassallo)

It’s been a volatile time for GBP/AUD exchange rates recently, with uncertainty surrounding the Australian economy handicapping any AUD spikes. Sterling has gathered momentum over recent weeks with the pair now floating around 1.90 on the exchange, providing some of the best buying levels of the past four years.

The Reserve Bank of Australia (RBA) have already stated they feel the AUD is overvalued and the aggressive move on GBP/AUD rates during yesterday’s trading, we saw over a cent swing with the Pound hitting 1.9073 before dropping away very quickly below 1.90, could be attributed to this. We also need to consider that the RBA could well cut Australian interest rates early in 2015, which is causing uncertainty amongst investors. Current rates already stand at a record low of 2.5% but this is likely to drop further, as the Australian central bank look for measures to combat on-going economic difficulties inside the Australian economy and further afield.

In fact it is the Asian markets, in particular China’s demand for Australia’s raw materials, which can drive AUD exchange rates. The Australian economy has always relied heavily on the export of its vast supplies of raw materials. If this demand slows then quite simply the Australian economy will suffer because of it.

If you have an upcoming currency requirement and would like to be kept up to date with all the latest market movements, or simply wish to compare our award winning exchange rates with your current provider, then please feel free to contact me directly on mtv@currencies.co.uk

 

GBPAUD rates SPIKING

GBPAUD rates have climbed significantly over the last few weeks and it is something I generally expect to continue. With commodity prices falling along with demand from China the Australian economy has been weakening along with its currency making it cheaper to buy.  We have key data again this evening from China and Australia and both are expected to show a similar stance resulting in more gains for anyone with AUD to buy.

The question really now is when will levels peak, when is the best time to buy?

My view, 1.90 would be a fantastic opportunity but with it only being less than 1% away and rates currently at a near 4 year high I would not ride to much soon.

Sellers are however in a concerning situation receiving significant less than they have been, AUD has weakened by several percent this last week and smiles are certainly upside down.

For more information on how to maximise your transfers please feel free to get in contact, Steve Eakins is my name and you can contact me on hse@currencies.co.uk

GBPAUD hits best levels since January… Do you want to buy at 1.90..? Speak to me!

The pound is at the best levels against the Australian dollar since January as the pound remains solid and economic data for the Asian regions remains under pressure. If you need to buy Aussies a Limit order to buy at 1.90 is surely the best option. The GBPAUD rate fluctuates all the time due to being influenced by both the Asian, European and American markets. Unless you are in the habit of staying awake for 24 hours it is more than likely therefore you will miss certain spikes at this level.

A Limit order guarantees your price once the exchange rate you seek is reached. With Australian Unemployment data out tomorrow night (and expected to come in worse than expected) there is a good chance we could see a sudden spike. Exchange rates move every second for a variety of reasons. Unfortunately it is impossible to predict exactly what will happen in the future but we can offer up extremely useful information and tools to try to help you capitalise on any improvements. We aggressively undercut the banks and if you are considering a transfer, a quick conversation with us is very much worthwhile.

If you need to transfer money now or in the future please get in touch with me today to discuss how to make the most of your money. Please email me on jmw@currencies.co.uk