Tag Archives: Best GBP/AUD exchange rates
GBP/AUD moves to week high at 1.69 level (Ben Fletcher)
The GBP/AUD rate has moved up to a week high despite a volatile period for Sterling as the political scene takes centre stage. Brexit talks are dictating the movement for Sterling and any sudden good news could start to see the rate move above the 1.70 level.
Australian Economy Strengthening
Despite a slow start to the year, which revealed low Retail slows and Housing construction falling the Australian economy seems to be picking up. Most of the weak 1st Quarter GDP can be put down to poor weather on the East coast of Australia having an enormous consequence on consumer behaviour and construction conditions. However now that Australia is through the storm business conditions appear to be improving with confidence once again returning.
In the longer term what this could mean for the Aussie is continued strength. Australia earlier this year took the record from the Netherlands for the longest consecutive time of never falling into recession. This is no mean feat and despite external economic pressures weighing down on the economy the condition are positive. China and the general commodity market dictate how Australia fairs from a trade perspective and as the markets have settled so has the Aussie.
Aussie sellers are certainly in a positive predicament and are unlikely to see selling levels much below 1.65 in my opinion. However any upticks for Aussie buyers using Sterling should consider the low 1.70’s as a buying level. The market is currently poised to go either way and with the UK struggling with uncertainty anything could change.
If you do have a requirement to change currency I’m confident I would be able to help you execute a transfer. If you would like to discuss the forecast above please feel free to email me at brf@currencies.co.uk. Working for a currency brokerage I am able to set rate alerts to make sure you’re trading at the right time at a level you’re happy with.
Political uncertainty plagues the Pound (Daniel Johnson)
Theresa May’s call for a snap election has caused severe pound weakness. Political uncertainty historically weakens the currency in question and this is definitely the main catalyst for Sterling weakness at present. Many are uncertain how the Conservative- DUP coalition will pan out and the majority of the general public are furious with the £1bn of tax payers money to be handed to the DUP in return for their votes.
The PM’s job is on the line and until we have a a stable government the pound has little chance of a recovery. As usual politicians seem to be far too concerned with their own agenda rather than trying to benefit the country. By ousting the PM I would expect investors to deem this as yet more uncertainty in regards to the political situation and the pound to fall further.
Let us also not forget the Brexit negotiations, this will be a key factor in GBP/AUD buoyancy levels moving forward. Despite the rumors talks could be elongated, it is important to remember the scale of UK imports, particularly for German cars. It will be detrimental to all involved to play hard ball with the UK.
I am still of the opinion the pound is undervalued against the Aussie. Let us remember it was not too long ago GBP/AUD sat above 2.20. Australia’s heavy reliance on the Chinese could prove to be a problem. Growth, although still impressive is still slowing in China and this has repercussions on the Australian economy. Keep a close eye on Iron ore prices, this is the largest export for Australia and has the power to influence Australian dollar value.
There is also the housing price concern, with over inflated house prices in high wage areas. Some consider this to be unsustainable, although if foreign investors are still prepared to pay the these prices it may not be the case. We only have to look at London as an example.
Overall, although Aussie dollar sellers may see further gains short term. I would not necessarily procrastinate. It is an incredible time to purchase Sterling.
If you have a large currency transfer to perform in the coming days, weeks or months then I will be happy to speak to you directly as I will be willing to help you both with trying to time a transaction and getting you the best possible rate when you do come to trade. A small improvement in a rate of exchange can make a significant difference, so for the sake of taking a few minutes to email me you may find you save yourself hundreds if not thousands of Pounds. You can contact me (Daniel Johnson) on dcj@currencies.co.uk and I will endeavor to get back to you as quickly as possible. Thank you for reading.
Buying Australian rates boosted by softer Brexit murmurs (Joshua Privett)
The state of limbo we’ve been suffering with Sterling this week has show tentative signs of breaking as we head into the weekend, with buying Australian Dollar exchange rates rallying during Friday morning trading.
This prolonged period without clarification on Government policy towards such a sensitive issue as Brexit has left currency investors unsure what to do. There has been such little buying and selling activity involved around the Pound that GBP/AUD has been moored in the high 1.60’s since Monday.
This should all change next week.
The Government’s manifesto will be debated on in Parliament next week to be voted on on Thursday/Friday, before the close of June. Hints of a softer Brexit with Theresa May’s speech at the EU summit today have markets less concerned at the prospect of a tumultuous exit for the UK, and therefore Sterling saw a comforting boost in the morning.
End of week financial flows however halted Sterling’s rally. At the end of the week capital tends to be allocated in the more stable currencies. A camp which Sterling understandably hasn’t occupied for some time. So you tend to see Sterling selling off in favour of the likes of the US Dollar and Swiss France, with the Pound losing out through decreased demand in general.
But if it wasn’t for these clockwork trading patterns before the weekend, AUD sellers would have seen glimpses of what is expected to happen next week. A consolidation of this limbo period since the election, and confirmation of any softer approaches for the Brexit should both play well for Sterling’s value in the eyes of currency markets. Both have a high likelihood of occurring next week, even the Brexit Minister David Davis said as much.
So whilst Australian Dollar sellers are seeing higher urgency to act sooner rather than later in the final week of June, Australian Dollar buyers may consider waiting until the end of next week to secure their AUD purchase.
I strongly recommend that anyone with an Australian Dollar based currency requirement should contact me over the weekend whilst financial markets are closed on jjp@currencies.co.uk to discuss a strategy for your transfer aimed at maximising your currency return.
I have never had an issue beating the rates of exchange on offer elsewhere, so a brief conversation could save you significant sums of money on a prospective transfer.
GBPAUD exchange rates fall to a 8 week low! (Dayle Littlejohn)
Pound vs Australian dollar exchange rates have reached an 8 week low this week due to sterling devaluing and the Australian dollar strengthening. To put this into monetary terms over the last 2 weeks exchange rates have dropped 5 1/2 cents which means a 200,000 Australian dollar purchase is now £3,850 more expensive.
Starting with the Australian dollar GDP numbers have remained resilient this month, and positive business sales growth coupled with increased consumer spending has strengthened the Australian dollar. In addition the Philip Lowe (Governor of the Reserve Bank of Australia) also commented earlier in the week that the global economy is in better shape than previous years which is helping the commodity currencies. This was a surprise statement as iron ore prices continue to remain under pressure due to a slow down in China.
As for the pound the Governor of the Bank of England gave a dovish statement yesterday and confirmed the UK are not in the position to raise interest rates anytime soon even though three members of the Bank of England voted to hike rates only 6 days ago. Furthermore Brexit negotiations have begun and are putting pressure on sterling as the market is nervous about a deal being struck in regards to the divorce settlement.
In my opinion it is impossible to predict how Brexit negotiations will impact the pound. Positive news will strengthen the pound negative will do the opposite. I am optimistic that deal will be struck eventually however other traders on the floor are not. If you are purchasing pounds with Australian dollars or vice versa I would recommend getting in touch and I will keep you up to date with regular information until you are ready to convert drl@currencies.co.uk.
If you are buying or selling Australian dollars in the upcoming months and want to achieve rates of exchange that are better than your bank, whilst receiving regular economic information feel free to email me with the currency pair (AUDGBP, AUDEUR, AUDUSD) the reason for the transfer (company invoice, property purchase) the timescales you are working to and I will respond with my forecast and the process of converting currency. My direct email address is drl@currencies.co.uk and I look forward to receiving your email.
Sterling tumbles after Mark Carney Speech (Ben Fletcher)
The Governor of the Bank of England Mark Carney yesterday delivered a speech saying that he doesn’t think an interest rate hike is imminently on the cards. The comments followed a vote by the economic monetary policy committee last week where the members voted 3-5. 8 members voted for the decision and this is the first time in over 5 years 3 members have voted for a hike. The vote last week caused a jump in the market however that was lost yesterday.
The comments yesterday had an instant effect on the market causing nearly a 1% drop in the GBP/AUD rate. Since the final weeks of the UK election and the subsequent hung Parliament result the Aussie has gained nearly 10 cents in strength against sterling, moving the rate to 1.66. In my opinion I don’t see the rate returning to the 1.60 level last seen in March and any Aussie Dollar sellers should consider capitalising on the last two weeks movements.
Where Next for GBP/AUD?
Now that the Brexit negotiations have started there is potential for the markets to move at an instant. David Davis the UK’s Brexit Minister suggested the talks got off to a positive start and that he was hopeful of much of the same in a press conference earlier this week. The main market influencer will be the announcement of a trade deal between the UK and the EU, the moment that comes Sterling’s fortunes could change.
If you’re interested in finding more information about the markets I am able to assist by keeping you up to date with any market. I work for a company that has been in business for 18 years and would be surprised if I am not able to help you make a significant saving on your currency transfers. If you would like to ask any questions please send Ben Fletcher an email at brf@currencies.co.uk.
Volatility expected on GBP/AUD in the next 24hrs as government announcment expected (Daniel Johnson)
Queens Speech has potential to cause movement on GBP/AUD
Tomorrow we will see the state opening of parliament and the queens speech which had been delayed as the conservatives and the DUP thrash out a deal. The UK is currently in political limbo at present and this has been very detrimental to the pound, if we go by what is taught in economics class you would expect the pound to rally once there is a government in place. It is common knowledge that we will see a conservative-DUP coalition and the market will have largely factored this into the current GBP/AUD rate. What I think will have more bearing is what plans the coalition have for the country particularly regarding the brexit strategy. A change from Theresa May’s hard brexit plan could well occur, as the DUP would favour a soft border between Northern Ireland and Ireland, this would mean a move away from May’s plans of border control and a hard brexit. It is important to also note that senior members of the conservatives have threatened to challenge May’s leadership if she changes her plans on a hard exit. If you have a currency trade to perform involving GBP/AUD you need to be in touch with an experienced broker if you want to take full advantage of short term spikes. There are a number of options to ensure any tempting peaks which emerge are not missed and if you would like me to help, be sure to get in touch in quickly so I am aware of your situation and can assist in maximising your return. My details are at the bottom of the article.
RBA Minutes gives an indication of what could influence future Australian Dollar value
The Reserve Bank of Australia (RBA) minutes take place two weeks after the interest rate decision. They provide an account of policy discussion and also how the committee voted. This can give a real indication of what monetary policy changes can be made in the future and can influence GBP/AUD.
The minutes took place during the early hours of this morning and is was much the same as the previous meeting, interest rates were kept on hold at 1.50%. Housing and employment will be key factors in interest rate judgement as detailed in the minutes.
Data will continue to hit the wire throughout the month regarding these key indicator, affecting the value of the Australian Dollar consistently. Feel free to get in touch if you would like me to keep an eye on these releases for you, I can contact you if an opportunity presents itself.
Should you find our information useful and you would like me to assist with your trade I will be happy to help you personally. If you inform me of the details of your trade I will endeavour to provide a free trading strategy tailored to your situation. We are authorized by the Financial Conduct Authority so you can trade with safety and confidence. Our reputation at Foreign Currency Direct is impeccable, we also offer the most competitive rates of exchange and if you have a current provider I am willing to perform a comparison and I am very confident I can demonstrate a significant saving. I look forward to being of help. I can be contacted at dcj@currencies.co.uk. (Daniel Johnson)
Political Uncertainty weighs down the Pound (Daniel Johnson)
Little chance of recovery for the pound until a government is in place
The UK is currently in political limbo. I think there is little chance of a significant advance for sterling against the Australian dollar until we have a government in place. A coalition between the conservatives and the DUP is yet to be finalised and the Queens speech has now been delayed until 21st June out of respect to those effected by the glenfell tower tragedy. This is when her majesty is expected to formally announce the new government. There is the probability news will filter through in the press before hand, when the UK has a government in place I would expect a spike in Sterling value.
Brexit Negotiations to commence on Monday
Brexit negotiations will be a key factor in sterling value for the foreseeable future. The enormity of the talks should not be underestimated. Key topics will be the status of EU nationals and Britons who are settled elsewhere in the EU, the price the UK will have to pay to leave and most importantly how trade will continue for the UK after exit.
RBA Meeting’s Minutes
The minutes if the Reserve Bank of Australia (RBA)) meetings are published on Tuesday, two weeks after the interest rate decision . The minutes give a full account of the policy discussion, including differing opinions. They also announce how the members of the committee voted in regards to a rate hike. Keep an eye on this event as it can give an indication to monetary policy moving forward, so can cause volatility on GBP/AUD.
If you want to be kept up to date on the markets and you would also like to ensure that you are getting the optimum levels of exchange for a currency transfer then I am happy to assist.
Not only do we give clients up to date market information but we all work for one of the largest and longest serving currency brokerages in the U.K, so even if you have dealt with your current provider already in place I would be surprised if I could not show you a saving over what they are offering you I can be contacted (Daniel Johnson) directly at dcj@currencies.co.uk and I will be more than happy to contact you personally to discuss the various options we have available to you. Thank you for reading.
Buying Australian Dollar rates showing tentative drops following election (Joshua Privett)
At the time of writing we are about 12 hours away from global financial markets opening once more after the weekend, and will buying Australian Dollar exchange rates continue to fall after the election results?
When the exit polls came out late on Thursday the Pound fell sharply against all major currencies. GBP/AUD fell as low as 1.67 in the hours that followed into Friday, with uncertainty at what a Hung Parliament may bring driving down demand for the Pound, and therefore cutting away at it’s value.
With the Conservatives able to form a minority government with their informal affiliation with the DUP, the Pound then recovered, with GBP/AUD up to 1.69 at the close of play before the weekend.
However, Australian Dollar buyers are not out of the woods yet.
Tomorrow the Conservative legislative agenda has to be voted in, and Labour are desperate to use this as a platform to call for another election and undermine Conservative authority. We will not know until then what concessions are being added to keep the DUP in side, and whether this will play well within the whole of the Conservative party members.
Markets will also react to the content as well. Will this change the Brexit agenda? To what extent will the Commons challenge Theresa May’s current mandate? Given that all agendas, policies and laws now have to be voted on, will tomorrow’s actions paint the picture of a cumbersome and ineffectual Government? We will know the market’s reaction by the afternoon.
I am well positioned to assist anyone with a buying or selling Australian Dollar currency requirement to time their transfer and stay informed in this fluid marketplace. You can contact me directly on jjp@currencies.co.uk to discuss a strategy for your transfer and your options.
One final point is that I have never had an issue beating the rates of exchange on offer elsewhere, and these current buying levels can be fixed in place for a future requirement you have planned using only a small deposit, eliminating any risk from further currency exchange movements.
Sterling falls due to hung parliament (Daniel Johnson)
Hung Parliament – Where will GBP/AUD move next?
The conservatives came in well below expectations unable to win a majority victory which has caused a considerable weakening for the pound against the Australian dollar. GBP/AUD now sits at 1.6850. I would be surprised to see further significant losses. Australian Dollar sellers it is time to fill your boots.
Whitehall will be frantic today with promises being made in the attempt to form a coalition. I would expect Sterling strengthen when a coalition is formed, the combination of the coalition will determine by how much. If however Corbyn manages to form a minority government, we could potentially see further falls as this could be deemed negative for the UK economy and Brexit negotiations are predicted to be more problematic. This is worrying as Sir Ivan Rogers former EU commissioner resigned due to unrealistic time scales for exit. He thinks it could take up to ten years for a full exit, negotiations need to run decisively and effectively to avoid the process being lengthened. Parties with differing views could cause the process to become more troublesome.
It seems the most likely outcome would be the conservatives gaining power with the support of Northern Irish unionist parties. I think this would have a positive effect on Sterling. When the Conservatives gained power with the Lib Dems in 2010 GBP/EUR rose by 5 cents.We experienced a hung parliament in 2010 and this lasted for five days, this could give some indication of how long the UK will be stuck in limbo.
If you have a large currency transfer to perform in the coming days, weeks or months then I will be happy to speak to you directly as I will be willing to help you both with trying to time a transaction and getting you the best possible rate when you do come to trade. A small improvement in a rate of exchange can make a significant difference so for the sake of taking a few minutes to email me you may find you save yourself hundreds if not thousands of Pounds. You can contact me (Daniel Johnson) on dcj@currencies.co.uk and I will endeavor to get back to you as quickly as possible. Thank you for reading.
