This year we have seen the Aussie as one of the biggest losers on the currency markets. Many had been expecting this for sometime claiming the Aussie was ridiculously overvalued. Where next will rates go on the Australian dollar?
Making currency prediction is an extremely difficult thing and no one can tell you exactly what will happen. What we can expect in the future however can be determined from assessing the current trend. Reading between the lines it appears to me that the Australian economy is on the back foot and that in the future the RBA (Reserve Bank of Australia) will seek to weaken the Australian currency as they have recently.
It is worth remembering the Australian currency was historically much, much weaker and current selling rates remain very favourable.
If you would like more information on the future direction of rates and what to be considering if moving funds, please contact me Jonathan directly on firstname.lastname@example.org
Surely it is only a matter of days before we go above 1.80 on GBPAUD? As predicted by many of the authors on this site over the last few months rates were bound to rise due to GBP strength and AUD weakness. And I can say with a high level of confidence that they will probably get worse. We have already heard dovish comments from RBA members indicating the weakness of the Aussie is a target for them. They want a weaker Aussie to help boost exports and help the economy.
As China slows down and the mining ‘boom’ of the last few years starts to slow the outlook is without doubt yet higher rates. AUD sellers in the future may do well to take stock of current rates bearing in mind levels used to be at more than 2.
Luckily there are options in such a market. We can forward fix an exchange rate to limit your losses. If you are selling a property in the future in Australia speak to me on email@example.com for more info!
The current outlook on GBPAUD is not that positive for AUD sellers as Glenn Stevens said further AUD weakness is a strong likelihood. It is not in the interests of the Australian economy to have a strong Aussie as it is bad for their exports and also bad for tourism and other sources of income. Historically rates were well above 2 so to have them at 1.60-1.17 is a huge improvement for AUD sellers.
Don’t miss out on what are still excellent selling rates
The best time make a currency exchange is a relative thing. 1.65 buying AUD is great when you have been used to getting 1.50. However if you have your heart set on 1.80 or even the lofty highs of 2 from many years ago, you are clearly going to be disappointed at current levels!
In order to decide on the best time to enter the market it is wise to carefully consider all of you options. This is where as specialist currency brokers we can offer assistance with the timing of your exchange as well as the very best rates on the market.
There are a number of factors to beware of when considering an AUD exchange including carry trading, interest rate differentials plus fundamental and technical analysis. If you would like to maximise your currency exchange and learn more about what is driving your rates please contact me Jonathan on firstname.lastname@example.org
The Australian dollar should strengthen soon as investors risk appetite increases. I expect this to happen once the US debt ceiling issue is solved and the next week will be crucial. In order to really get the best exchange rate it is necessary to be prepared. How will you even know you are getting the best rate if you haven’t made any preparations? This site offers information on what to beware of plus access to the very best rates of exchange and tools to limit your currency exposure. Even if you are inexperienced in such matters, we can help explain what will move your exchange rate and this will help you to get more for your money. My personal contact details are at the bottom of the post if you have specific questions.
Key things that moves Aussie exchange rates
Global Sentiments – As and when market sentiment is positive (good for the Aussie) or negative (bad for the Aussie) the Aussie fluctuates. Market sentiment can be evidenced by global economic conditions. Right now the US impasse is proving the big talking point, as is the possible effect of all of this on QE tapering in the US.
China – As Chinese economic conditions improve or decline so does the Aussies fortunes. The slowing pace of growth in China has been a major driver for AUS weakness this year.
Economic conditions in Australia and also the respective countries of the currency pair you are considering will also impact rates. Right now the pound is posting good economic news and this has helped sterling to spike to the near 3 year highs in the last couple of months.
The forecast on the Aussie leading to Christmas would be AUD strength. For now it looks highly unlikely we will see any withdrawal of the US QE programme which should keep the Aussie favoured as confidence remains high.
If you are considering a currency exchange in the future and wish to find out more about what will move your rate and secure better rates than you rbank or broker please speak to me on email@example.com
I look forward to hearing from you.
Rates above 1.60 had been rarer than a 3 legged dingo up until a few months ago! But now like a kangaroo on speed rates have hopped higher presenting three year highs for anyone buying Australian dollars! Well I will be a wallabie’s tail! Where now?!
Well if the Reserve Bank of Australia keep their more optimistic mood a stronger Aussie could not be ruled out. Although I think there is more chance of Kylie and Jason getting it back together in Neighbours than any rates lower than 1.50 again!
Humour (or my jovial perhaps pathetic and not meant to be offensive at all attempt at it) aside, rates are good. And so long as the UK appears to have it’s act back together rates should remain at the higher end of the last few months, that is between 1.60 and 1.80. If you have a currency transaction to consider buying or selling AUD into any currency, we would be interested to hear from you.
We are specialist currency brokers who can offer much better rates than the banks and other sources.
Please contact me on firstname.lastname@example.org with any feedback or enquiries!
With no clear reasons to buy into Australian currency traders avoided it today looking for safer options amongst sterling. Sterling rose against most currencies after some positive data sets for the UK underlined the general improvements in the UK economy.
Tapering of some description will happen at some point and this for now is a good reason to avoid the riskier currencies and look for more certain safer bets. I wrote recently why the Aussie is bound to weaken further in the coming weeks and months and you can read this here. Essentially there are too many things that are bound to weigh on investors minds when considering investing in the currency. I think therefore rates will remain very favourable for AUD buyers (particularly with Euros and sterling as these currencies remain strong) but AUD sellers may be disappointed holding out for too long.
Getting the best deal on currency is no easy task! Technically it is actually impossible to get the ‘best’ rate since you only know when you have reached the high or low once you have passed through it and the rate has gone back the other way. However armed with the right information and approach you can easily maximise your purchase with a bit of planning and guidance.
I work as a specialist currency broker assisting clients all over the world to achieve the best exchange rate. Each individual client’s situation will require a slightly different approach which we can quickly assess during a phone call. For more information on our services please speak with me Jonathan on 00 44 1494 787 478 or email email@example.com
I look forward to hearing from you and assisting you