Category Archives: Australian Dollar Weakness
Whats in store for AUD today? GBP/AUD, AUD/EUR forecast
Yesterday the Australian Dollar retraced some of its recent losses against the pound but was too see some further losses against the Euro. Coming into the office this morning and the Australian Dollar has seen some heavy losses against the Euro moving a cent from the high/low already, the pound has also seen some strength pushing back towards the 1.55 territory opening the day at 1.5430. The AUD weakness can in some ways be attributed to poor consumer confidence figures from Australia overnight, continuing a recent trend of softer data coming from Australia.
Whats in store today?
This morning anyone looking at GBP/AUD should watch out for the Bank of England minutes scheduled for release at 09.30. For me I would not expect to see any dramatic announcements as Sir Mervyn King is coming towards the end of his tenure as the head of the central bank and for this reason is unlikely to look to adopt any significant policy changes as a result, this is likely to be left in the hands of the new governor Mark Carney who takes over in July. Personally I think the minutes could be a slight non-event but certainly any nod to a change in interest rates of further QE and the GBP/AUD could swing either way.
For anyone looking at EUR/AUD European consumer confidence figures are scheduled for tomorrow and expected to show a slight improvement which may well lend further support to the Euro. Historically AUD rates are still very strong against the Euro and Pound but this trend appears to be shifting.
As you can see we have plenty of data released for the rest of the week. To be kept up to date with the impact these data sets may have for your individual requirement then please contact me and I will happily run though my forecasts and run through the various contracts we can offer to help maximise your currency exchange. I am very confident I can help achieve a better rate than your current provider. Please call the office on 01494 787478 or email me (Mike) with a brief overview of your requirement and I will gladly contact you to help with your money exchange. I can be reached at mgv@currencies.co.uk
When Is The Best Time to SELL or BUY Australian Dollars?
The last two weeks have seen a shift in favour of Sterling of approximately 10 cents. This morning Sterling crashed through the 1.56 barrier against AUD to a day high so far 1.5660.
What is the Prediction?
The Australian Dollar is heavily linked to USD. When the USD strengthened last week and went past parity against the Aussie, the Aussie weakened further to its current position. Therefore it is fair to say that USD strength is a factor that weakens AUD.
Ben Bernanke (Head of the Federal Reserve) makes a speech tomorrow afternoon with many analysts predicting a reduction in Quantitative Easing. his announcement would be very positive for the ‘Greenback’ and could be the catalyst that pushes next weeks trading prices in to the 1.60s.
Australian Dollar sellers would sell at almost record lows at the moment.
I work for a market leading Foreign Exchange company, with various awards from ‘The Times’ and ‘The Telegraph’, including best exchange rates.
You can reach me on 01494 787 478 or email me AJB@currencies.co.uk .
Andrew Bromley
GBPAUD Exchange rates continue to rise to 1.56+
Despite originally promising a surplus a year ago for the current period the Australian government are now forecasting a potential deficit. Australian Treasurer Wayne Swan claimed the deficit will be approx AUD$19.4bn which has been mainly affected by the slowdown in China which has reflected in the Australian mining industry. The Aussie budget also predicted a smaller deficit in 2014 before returning to a surplus in 2015. The original prediction for 2013 was for a surplus of AUD$1.5bn so things are taking a turn for the worse.
This recent news is currently being reflected in the Australian Dollar exchange rates which has recently hit 1.5650 based on this morning’s trading session. News from the US the world largest economy is that inflation is slowing which means less demand globally. This is turn has an affect on the Australian Dollar which tends to strengthen if the US economy remains strong.
If you’re considering making a foreign currency transfer to buy Australian Dollars or need to buy Sterling or Euro then feel free to contact me directly for a free quote. Working for one of the UK’s leading currency brokers I am confident we can save you money compared to using your bank.Feel free to send me an email Tom Holian teh@currencies.co.uk
Pound very close to year highs against the AUD, is there more to come?
In early morning trading the pound hit its highest level against the Australian Dollar since 2nd January reaching a high today of 1.5460 bringing Sterling’s gains against the dollar to nearly 10 cents since the beginning of April, but will this trend continue? Sterling’s moves came following the Bank of England quarterly inflation report in which Mervyn King (head of the Bank of England) was to indicate that the banks growth forecasts have upgraded and they have forecast that inflation levels will fall faster than previously indicated.
This data was to continue the UK’s recent run of stronger data and has painted a slightly more positive picture for the pound as a result. This all bodes well for AUD buyers and I still feel some more value will be seen for GBP/AUD rates for those that can be patient.
For anyone selling AUD I would still urge you to take advantage of rates that are historically still very favourable. The average trade price for GBP/AUD for the last year sits around 1.54, so with levels currently at the year average it is not all doom and gloom. For me the current trend and sentiment from Australia is a concern and I would expect rates to move towards 1.55 as I feel the central bank is still concerned about the strength of the Aussie and the impact this is having on the value of Australian exports. I would not be surprised to see another interest rate cut within the next 3 months, something that could devalue the AUD further.
Should you have an upcoming money exchange to arrange and you would like more information on the currency service we provide please contact the office on 01494 787478 or email me (Mike) at mgv@currencies.co.uk
Australian Dollar Exchange Rate Forecast – Andrew Bromley
When will we be trading at 1.60? Not long in my opinion!
This afternoon the pound has weakened against most currencies, including nearly half a percent (at the time of print) against USD. It has not however weakened to the same degree against AUD, re-confirming that that AUD is not in favour for investors. 
This Morning Australia released Australian Home Loans (Total of Australian Mortgages), Investment Lending and NAB (National Australia Bank) Business Confidence. Business confidence was down but there was a strong reading for Home Loans. A surprise as a weakening currency is quite often supported by that countries businesses, as it makes it a bit easier on the pocket to trade internationally!
My opinion is that Sterling will strengthen against the Aussie Dollar further, and that in summer we will be trading in the 1.60s.
Should you be looking to sell some Australian Dollars, please drop me a line to discuss your options. There are many contracts available to eliminate potential loss from adverse currency fluctuations.
I work for a market leading Foreign Exchange company, with various awards from ‘The Times’ and ‘The Telegraph’, including best exchange rates.
You can reach me on 01494 787 478 or email me AJB@currencies.co.uk .
Thank you for reading
Andrew Bromley
best rates for buying Australian Dollars for three months with the pound. (Ben Amrany)
With the pound starting to move in the right direction against the Australian Dollar we are currently trading at 3 month high. The recent cut in interest rates looks to be the main factor why the Aussie Dollar has weakened. Having said this it looked at one stage last week taht this would not be enough to halt the strength of the Dollar.
Looking forward there are analysts that feel the RBA will look at cutting rates again next month and this could enable the pound to move up to the late 1.50′s maybe hit 1.60. This would be a welcomed boost for all of you that have been holding out for the rate to rise. If you are selling AUD I would be cautious as you do not want the losses to continue as the RBA would like a weaker currency. If however the AUD performs like it has in the past then even another rate cut may not be enough to significantly weaken the dollar by 3-4% Certainly interesting times ahead for the currency pair.
Data is a little thin on the ground this week down under but Wednesday there is a lot of data out for the UK which could cause the rate to move one way or the other. If you have a currency conversion to make over the coming weeks then please do conatct me at bma@currencies.co.uk and I can explain the options that are available to you plus I can explain how we can beat the rates your bank offers you.
Thank you for reading and I look forward to hearing from you.
Ben Amrany
Sterling slowly gaining against the Australian Dollar
The Pound has had a great run against the Australian Dollar of late, gaining almost 5 cents in the past few weeks.
At present, with buying levels now over 1.50 it does become quite a temptation to buy Australian Dollars if you have been waiting to make a purchase since the start of the year.
From what I hear from friends over in Australia things are not as great as have been made out and with China seemingly slowing down ever so slightly there may be a little more room for improvement in GBP/AUD rates as long as the U.K can avoid moving backwards again with their economic recovery.
Be very wary though if you do have a pending property transaction to carry out and the current level is within budget it may be tempting toat least book half of your currency just in case the AUD does have another charge of strength which we can never rule out.
Today is key for the Pound with production figures out at 09:30am and the Bank of England interest rate decision due at 12:00pm. Should the Bank of England not have changed their plans surrounding Quantitative Easing then the Pound could creep up a little further.
If you are in the position where you need to buy or sell Australian Dollars for any major currency then I can help you both in terms of a great rate of exchange and a fantastic level of service. You can contact me on djw@currencies.co.uk please let me know a brief description of your requirements and a contact number and I shall be more than happy to help you.
Will the RBA cut be the first of many? GBP/AUD exchange rate forecast
Following the recent interest rate cut by the Reserve Bank of Australia to 2.75% will this see the first of many throughout the course of 2013? For me I would certainly not be surprised to see another quarter or half point cut by the end of the year but this may well depend on the economic activity/output from China. Recent figures from China have been much softer than late and this may prove a worrying concern to the RBA and I feel they will keep their cards very close to their chest about future monetary policy. What does this mean for the value of the Aussie? Since the start of March we have seen the pound rally nearly 5% and I for one feel this may well be the start of a revival for the pound and would look for moves towards 1.55 in the coming weeks. For this reason I would urge anyone selling AUD to look at their options whilst rates are still historically very favourable, for those buying I feel you will get more value for the pound as we head into the summer months.
Should you have an upcoming trade to arrange and you would like to discuss the market in more detail and how we can help you achieve a competitive commercial rate of exchange then please get in touch. We are here to help. Please email me with your particular currency requirement and I will happily get in contact to discuss your options to help you maximise your trade. Email mgv@currencies.co.uk
Should the RBA cut interest rates next week I would expect GBP/AUD to move towards 1.52 but EUR/AUD could move back to 1.25
Sterling has once again breached the 1.50 level against the Australian Dollar creating some good opportunities for those looking to buy AUD. We have also seen the Euro rally past 1.27 back from the mid 1.25s earlier this week. For me we are likely to see further opportunities for GBP/AUD, particularly should the Reserve Bank of Australia look to cut interest rates on Tuesday next week. As for EUR/AUD the recent gains could be a stronger opportunity. The European Central Bank will meet tomorrow to discuss their latest interest rate decision with many expect the ECB to cut rates from 0.75% to 0.5%. This will have been priced into the market but I would still expect moves against the Euro to be negative as we finish off the trading week.
Longer term I believe buyers of the Australian Dollar will get stronger opportunities and would expect a shift towards 1.52 for GBP/AUD and would certainly adopt a wait and see approach. I feel the slowing economy in China and the recent strength of the dollar will cause concern for the RBA and I would not be surprised to see a couple of interest rate cuts throughout the year, with opportunities towards 1.55 later this year.
Should you have an upcoming trade to arrange and you would like to discuss the market in more detail and how we can help you achieve a competitive commercial rate of exchange then please get in touch. We are here to help. Please email with your particular currency requirement and I will happily get in contact to discuss your options to help you maximise your trade. Email mgv@currencies.co.uk
