Tag Archives: best UK exchange rates

Will the Pound to Aussie Dollar rate recover back to pre-Brexit levels anytime soon? (Joseph Wright)

There has been a 1 and a half cent difference between the high and low for GBP/AUD today, as the pair appear to be continuing to decide which direction to move in next.

Sterling has performed in a mixed fashion against the majority of major currency pairs today and I think the economic data released this morning is perhaps one of the reasons for this.

This morning the office for national statistics (ONS) reported that annualised UK Inflation figures for January showed 3%, justifying the Bank of England’s concerns regarding the rising rates of inflation. This was above the expectation of 2.9% and and considerably above the BoE’s 2% inflationary target figure.

The potential for another rate hike from the BoE is now more realistic, and with wage growth now beginning to show signs of an improvement I think there is a chance of it happening this year which is why the pound has been climbing.

GBP/AUD is currently just under 1.80, and if the pair breach this key level I can imagine seeing the rate break through into the 1.80’s even if it’s proving a stubborn barrier up until this point. A move towards 2.00 would be back to pre-Brexit levels, and should AUD continue to weaken I think seeing GBP/AUD closer to this mark sometime throughout 2018 isn’t something to be ruled out.

If you have a large currency exchange to carry out in the coming days, weeks or months then you are more than welcome to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency. A small improvement in a rate of exchange can make a huge difference so for the sake of taking two minutes to email me you may find you save yourself hundreds if not thousands of Pounds. You can email me (Joseph Wright) on jxw@currencies.co.uk and I will endeavour to get back to you as soon as I can.

BOE comments causes Sterling Spike (Daniel Johnson)

GBP/AUD – In Depth

Sterling has struggled against the Aussie following the decision to hold a referendum to leave the EU. GBP/AUD sat above 2.20 pre referendum and of late has been mired in the 1.70s. We have seen a recent spike for Sterling which can be atributed to several contributing factors.

Although there was a recent surge in retail sales figures from down under the spike for the Australain Dollar did not last long, as predicted it was an an anomamly that could be put down to Black Friday sales and the release of the iphone X.

Since then the Reserve Bank of Australia (RBA) have indicated that they will keep interest rates on hold for the considerable future the Aussie has lost value. This can be justified due to the infalted property prices in high wage growth areas. Foreign investors are willing  to pay these prices as investments but it is causing the locals to struggle spending the majority of their funds on neccesities rather than luxury goods. This does not bode well for the Aussie.

The recent surge to 1.79 was caused by hints from the Bank of England (BOE) there could be a rate hike as early as May 2018. The market moves on rumour as well as fact and investors bit.

It is important not to have too high expectations if you are an AUD buyer however, the uncertainty surrounding phase two of Brexit talks has the potential to hurt the pound. Davis and Barnier are far from being on the same hymn sheet.

If you have a currency requirement I would be happy to assist. If you wish to maximise your return it is important to be in touch with an experienced broker. If you let me know the details of your trade I will endeavour to produce a trading strategy to suit your needs. If you have a currency provider in place I am willing to perform a live comparison and I am confident I will be able to demonstrate a considerable saving. It will only take a couple of minuites and could be well worth your while.

You can trade in safety knowing your trading with Foreign Currency Direct PLC, a company trading for over 16 years. Our accounts are published online at companies house and we are FCA registered.If you would like my help I can be contacted at dcj@currencies.co.uk. I look forward to hearing from you.

 

 

Sterling remains strong despite poor data release (Joseph Wright)

The Pound has managed to hold its ground against the Aussie Dollar today, despite some disappointing data being released earlier today.

It’s emerged that the UK construction sector is relatively flat at the moment, and this is similar to the UK manufacturing sector which also saw disappointing data released recently.

Despite this, the Pound is managing to hold onto its recent gains where the currency has moved up into the later 1.70’s after spending much of last year below 1.70. This suggests to me that the Pound has consolidated at its current levels and I think that there is more of a chance of seeing the pair hit 1.80 than 1.70 recently.

I think the Pound has also been helped by Aussie Dollar weakness which has restricted AUD from regaining any ground. An interesting estimate released recently is that there are forecasts of a 20% decline in iron ore prices throughout 2018, and this comes after the commodity lost quite alot of value recently already.

The reason this is significant is because iron ore is one of Australia’s biggest exports, so therefore a drop in the commodities value is likely to result in a drop in export income for the country.

Those watching this pair should also consider that if there is more talk of a rate hike from the Bank of England in May, we could see Sterling climb even higher.

If you have a large currency exchange to carry out in the coming days, weeks or months then you are more than welcome to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency. A small improvement in a rate of exchange can make a huge difference so for the sake of taking two minutes to email me you may find you save yourself hundreds if not thousands of Pounds. You can email me (Joseph Wright) on jxw@currencies.co.uk and I will endeavour to get back to you as soon as I can.

Could we be headed for further AUD weakness? (Daniel Johnson)

RBA to keep interest rates on hold

Things do not bode well for the Australian Dollar at present. The Reserve Bank of Australia (RBA) have recently indicated that interest rates will be kept on hold for the foreseeable future. It was following Australian inflation data in the final quarter of 2017. There was a slight increase, but it did not meet the expectation of 2%. Some could deem this as positive, but the problem is due to the inconsistencies regionally.

Canberra, Melbourne and Sydney saw inflation hit over 2.1%, but if you look at Perth an area heavily involved in commodity exports inflation is struggling at 0.8%. This is definitely a cause for concern which is the reasoning behind keeping interest rates on hold.

The housing bubble created by those flocking to high wage growth areas is also a problem. The housing market remains strong in the east but is considerably down in the west according to the latest CPI figures.

With Australia highly dependent on raw material export to China it is important to keep an eye on Chinese data. We recently saw a fall in manufacturing data which has also caused Australian Dollar weakness.

GBP/AUD

GBP/AUD now sits above 1.75 which has been a resistance point of late. With the uncertainty surrounding Brexit talks if I was selling Sterling I would consider taking advantage of current levels. The last time we saw GBP/AUD near 1.80 there was a quick retraction possibly due to profit taking.

If you have a currency requirement I will be happy to assist. It is crucial to be in touch with an experienced broker if you wish to maximise your return. If you let me know the details of your trade I will endeavour to produce a free, no obligation trading strategy for you. If you have a trade to perform I will also happily provide a free quote and I am confident our rates are among the best in the industry. I would be willing to demonstrate this in form of a comparison with any competitor. You can trade in safety knowing you are dealing with company FCA registered and one that has been trading for 16yrs. Foreign Currency Direct PLC.

If you would like my assistance I can be contacted at dcj@currencies.co.uk. Thank you for reading. Daniel Johnson

 

What can we expect next for GBPAUD exchange rates?

The pound has risen to some of the best levels against the Australian dollar since December. These levels are not far from the post Referendum high of 1.7950. If you have a transfer to consider buying or selling the pound against the Australian dollar, then making good plans in advance is wise. This currency pair could easily be over 1.80 in the next few weeks or back towards 1.70.

The pound is really driving the recent improvement as expectations over Brexit solidify, the expectation is now that the UK will be able to get some form of softer Brexit. This week at Davos we have had Angela Merkel and also Philip Hammond talking very positively about the future of Brexit, this has helped the pound to rise.

The Australian dollar could come under much interest in the coming weeks as we have the latest Australian interest rate decision. Tuesday morning 6th February sees the first Australian interest rate decision for the RBA (Reserve Bank of Australia) this year. Expectations are for the RBA to discuss their interest rate plans and some do expect a hike this year.

With the pound bound to come under pressure soon enough from a shift in tone as the reality of Brexit bites back, any clients looking to buy Australian dollars should be tracking these developments very closely. Economic data can cause exchange rates to change suddenly and sometimes by up to 1 or 2 cents. Being able to plan and manage your transfer around such improvements is key to getting the most for your money.

For more information on the latest trends and assistance securing and tracking the very best rates of exchange, please contact myself Jonathan Watson by emailing jmw@currencies.co.uk.

Thank you for reading and I look forward to hearing from you.

What factors are likely to impact the Pound to Australian Dollar exchange rate? (Joseph Wright)

Despite the Pound to Aussie Dollar rate improving recently in line with the Pounds good performance in general, there are some analysts expecting to see the Aussie Dollar gain in the months to come.

If the Reserve Bank of Australia (RBA) follow in the footsteps of the US and begin raising interest rates like many expect them to, I think we can expect to see the Aussie Dollar strengthen so those hoping for a stronger Aussie Dollar should be aware of this.

In the current market conditions the markets are usually aware of any upcoming rates changes and it’s usual to see the change being priced into the value of the currency in the weeks and months leading up to the actual change.

Those following the GBP to AUD exchange rate should be weary of this as any allusions from the RBA could result in immediate changes in the exchange rate which currently sits around the 1.75 mark.

From the UK’s perspective the Brexit is likely to continue to drive the value of the Pound as markets the outcome of Brexit negotiations. A spokesperson for UK Prime Minister Theresa May recently came out and said that there is yet to be a transitional agreement made despite reports from some sources suggesting there was.

If you wish to be updated in the event of a short term price change for the Pound, do feel free to register your interest with me.

If you have a large currency exchange to carry out in the coming days, weeks or months then you are more than welcome to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency. A small improvement in a rate of exchange can make a huge difference so for the sake of taking two minutes to email me you may find you save yourself hundreds if not thousands of Pounds. You can email me (Joseph Wright) on jxw@currencies.co.uk and I will endeavour to get back to you as soon as I can.

GBPAUD breaks through 1.75 (Dayle Littlejohn)

Over the last three months GBPAUD exchange rates have fluctuated 8 1/2 cents which has given clients that are buying or selling Australian dollars opportunity. At present GBPAUD has broken through 1.75 and I expect the pound could continue to make further inroads against the Australian dollar.

This week Iron ore prices have showed a slight decline and today Iron Ore is 0.8% down. The Australian economy relies heavily on Iron Ore and Australian dollar exchange rates have a direct correlation. Many forecasters are split to whether Iron ore  over time will rise or fall. Ultimately it all comes down to how much China buy throughout the year. For many years forecasters have suggested a slowdown for China is on the cards but they continue to produce the economic numbers.

Tomorrow morning the UK release key economic data releases in the form of average earning and unemployment rate. Unemployment remains at record lows which is fantastic for UK exchange rates, even though 0 hour contracts are included within these figures. However the average earnings numbers are the concern for the UK. Inflation is outpacing average earning and the UK public are feeling it. If this trend continues further pressure will put on the Bank of England and a change in monetary policy could occur.

Longer term Brexit negotiations will drive the price of GBPAUD. I personally believe that the UK will come to an agreement with the EU therefore a sustained period of 1.80 towards the end the year could be on the cards.

If you need to buy or sell Australian dollars and would like to save as much money as possible, feel free to email me with your requirements and I will respond with the process of using our company drl@currencies.co.uk. As a company we pride ourselves in the ability to get you a better exchange rate than your current currency provider or your bank. In addition we can outline your options and the potential future events, which will impact your exchange rate. This will help you to make informed and educated decisions.

 

 

Will the Pound to Aussie Dollar rate break out of its current trend? (Joseph Wright)

The Pound to Australian Dollar buying rate is continuing to hover around the 1.73 mark at the mid-market level.

Whilst there have been some short term moves away from this level the pairs movements have been relatively tame for the last few weeks, which is quite a change considering how the pair has moved over the past couple of years.

Since the Brexit vote and the fall in the Pounds value due to the shock of the referendum outcome, the pair have remained range-bound between 1.5950 and 1.7950. With the pair currently trading quite comfortably above 1.70 I think it’s fair to say that the Pound is closer to the top end of its 18-month trend as opposed to the bottom, and those planning on converting Pounds into Aussie Dollars should consider this.

Sentiment surround the Australian economy has been buoyed today after Australian Consumer Confidence figures came out better than expected in the early hours of this morning.

This is the best level since the end of 2013 and if economic data releases and gauges down under continue to impress we could see the Aussie strengthen and push the GBP/AUD rate back below 1.70.

If you’re following the pair and would like to be kept updated should there be a big move for the pair, do feel free to register your interest with me.

If you have a large currency exchange to carry out in the coming days, weeks or months then you are more than welcome to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency. A small improvement in a rate of exchange can make a huge difference so for the sake of taking two minutes to email me you may find you save yourself hundreds if not thousands of Pounds. You can email me (Joseph Wright) on jxw@currencies.co.uk and I will endeavour to get back to you as soon as I can.

Pound to Aussie Dollar rate jumps on smooth Brexit hopes, will this trend continue? (Joseph Wright)

The Pound has spiked in value this afternoon across the board of major currency pairs, after this time the Brexit related news is positive.

Many may have expected to see the Brexit talks begin to have less of an impact on the Pounds day to day value, but it appears to be heating up as UK and EU officials prepare for Brexit trade negotiations and time to invoke Article 50 runs out.

The good news for the Pound today can be attributed to reports of the Netherlands and Spain is apparently open to a softer Brexit deal for Britain, which is of course welcome news to those hoping for a stronger Pound.

Those following the Pound should be aware that it’s trading at an 18-month high against the US Dollar.

Moving forward the Pound to Aussie Dollar rate is likely to continue to be driven by sentiment surrounding the Brexit and how the UK economy will perform during and after the transition.

If you would like to be kept updated regarding any short term price changes between the pair discussed today, do feel free to get in touch and register your interest.

If you have a large currency exchange to carry out in the coming days, weeks or months then you are more than welcome to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency. A small improvement in a rate of exchange can make a huge difference so for the sake of taking two minutes to email me you may find you save yourself hundreds if not thousands of Pounds. You can email me (Joseph Wright) on jxw@currencies.co.uk and I will endeavour to get back to you as soon as I can.

Key Factors that will effect AUD (Daniel Johnson)

Housing Bubble could have long term consequences for the Australian economy

This week we saw the Reserve Bank of Australia (RBA) minutes and the tone was positive as the economy starts to look healthier. This could pave the way for future monetary policy changes. The main worry down under at present is consumer spending. We recently witnessed the biggest fall in retail sale in over four years. This can be put down to the inflated housing prices in high wage growth areas. Consumers have been forced to curb there spending and spend their money on necessities. Property prices continue to rise due to foreign investors being willing to pay the over inflated prices which is hurting the natives. (I use that term loosely) The housing bubble could hurt the Australian economy long term. New Zealand’s new Labour government recently put in place a law to stop foreign investors buying residential property, it will be interesting to see how this pans out.

Iron Ore price can cause swings in Australian Dollar Value

Iron ore is Australia’s biggest export and is predominantly purchased by the Chinese. A client recently sent me a very interesting article which clearly shows a correlation between iron ore price and the value of the Aussie. Although Chinese growth is impressive it has been slowing and when there is a dip iron ore price falls due to the fall in demand, this then hits the Australian Dollar. A more stable economy needs a more diverse form of income rather than heavy reliance on a specific raw material. If you have an Australian Dollar requirement it would be wise to keep an eye on iron ore price.

If you have a currency requirement I will be happy to assist. It is crucial to be in touch with an experienced broker when the market is currently so hard to predict. If you let me know the details of your trade I will endeavour to produce a free trading strategy to suit your individual needs. Have faith knowing you will be dealing with a brokerage in business for over 16yrs, Foreign Currency Direct Plc. We are a no risk entity as we do not speculate on the market and we are registered with the FCA. If you have a currency provider take a minute to send over the rates they offer and I am confident I can demonstrate a significant saving. I can be contacted at dcj@currencies.co.uk . (Daniel Johnson) Thank you for reading.