Tag Archives: best UK exchange rates

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.

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.

 

 

Pound to Aussie Dollar hits its lowest level since April as the election approaches, will the trend continue? (Joseph Wright)

The Aussie Dollar bucked the trend today and actually gained value vs the Pound during today’s trading session.

As the election polls have swung back in favour of a Conservative majority the Pound has received a boost against most currencies, as the tightening in the polls over the past few weeks has put pressure upon the Pound as is often the case during times of political uncertainty.

The Aussie Dollar managed to buck the trend as in the early hours of this morning as both quarter-on-quarter as well as year-on-year economic growth figures (GDP) came out better than expected. This data release now means that Australia has recorded 103 successive quarters of growth which is a new global record, making the Aussie Dollar strength understandable.

Despite these figures from down under I am expecting to see the Pound climb further across the board of major currency pairs (including AUD) should the Conservative party win a majority when the election result is announced this Friday.

Another potential downside to the Aussie Dollar is the likelihood of another interest rate hike in the US which would limit demand for investors to hold funds in AUD. AUD has benefited from having such a high interest rate for a nation within the developed world, and should other nations, especially those considered less high risk such as the US, begin offering a similar or higher rate we could see a sell-off in the Aussies value due to selling pressures.

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.

 

Sterling vs Australian dollar predictions (Dayle Littlejohn)

In recent weeks the pound has been falling against most of the major currencies however remains buoyant against the Australian dollar. The reason for the pounds decline is that the UK public will be visiting the polling stations once more to decide who will run the country for the next term. Past history tells us when there is an election the currency in question comes under pressure and therefore losing ground against its counterparts.

However the pound has performed relatively well against the Australian dollar as the Austrian dollar has problems of its own. It was only yesterday the Australian dollar took a battering due to further falls in iron iron prices, Australia’s largest export. Furthermore Westpac announced capital expenditure figures have disappointed and the Chinese manufacturing activity is slowing which has led to the two per cent drop in iron ore.

As there is only 6 days to the UK general election, this week I expect the pound to come under further pressure and GBPAUD exchange rates to fall back towards 1.70. Polls are narrowing and suggesting that the Conservative party won’t win a majority however I personally believe they will pull through.

If I were buying Australian dollars I would not put all of my eggs in one basket and would therefore purchase 50% before the election and 50% in the future just in case we see another shock announcement like we did 12 months ago when the public decided to vote out of the European Union.

For Australian dollar sellers the slowdown in China is not going away and I believe this will continue in the months and in fact years to come. Therefore if I had Australian dollars I expect rates to be at their most volatile towards the end of the week on the eve of the election and thats when I would make the conversion.

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.

China’s slowing growth means trouble for the Australian Dollar (Daniel Johnson)

China’s Credit Rating Downgraded

Australia is heavily reliant on the Chinese purchasing their goods, it make s up a significant proportion of Australian GDP. Although Chinese growth is still impressive it is not growing at the same rapid rate as it was previously. This is hitting the Australian dollar. Iron ore is Australia’s biggest export and it’s price has plummeted of late due to the drop in demand.

Personally I am always slightly dubious in regards to data from China, rumors have been circulating for years of shadow banking and manipulation of data. I think the economy is not as strong as people believe. This does not bode well for the Aussie.

The Aussie has  recently been  hit by Moody’s credit rating downgrade of China due to the country’s high levels of general indebtedness. It would be wise to keep an eye on next weeks data releases so you can see the impact on the Australian economy. Wednesday will see the release of Australian GDP figures and Thursday we will see trade balance data. Both releases come through during the early hours, so if you are looking to trade short term, limit orders maybe the order of the day. A limit order allows you to set a target rate of exchange and should that level become available your purchase will be made automatically 24hrs a day.

UK General Election

This is currently a key factor in GBP/AUD levels. The conservatives are deemed as more positive for the UK economy so as Corbyn gains popularity expect Sterling to lose value. A hung parliament is now a possibility and this could cause a further fall for the pound. If there is a conservative majority expect the pound to rally, however if there is need for a coalition this could be detrimental. Bickering between the parties will not be good for Brexit negotiations and could cause serious problems for the UK economy.

If you have a currency requirement it would be wise to be in touch with an experienced broker during such volatile times. It is crucial if you wish to try and maximise your return. If you let me know the details of your requirement I will endeavor to time your trade and also gain the most competitive spread. Feel free to e-mail me at dcj@currencies.co.uk.

 

 

Pound to Aussie Dollar rate consolidates above 1.70, will the Pound manage to hit 1.80 this year? (Joseph Wright)

The price movement between the Pound and the Aussie has been interesting today, and may offer those planning a currency conversion between the pair with a indication of what to expect in future.

Sterling exchange rates came under pressure across the board during today’s trading session as late last night a YouGov poll suggested that Theresa May’s (the current UK prime Minister) Conservative Party may lose its majority in the upcoming election, and this political uncertainty is weighing on the Pounds value as is often the case.

Interestingly the currency didn’t come under pressure against the Aussie Dollar, as the currency appears to be under pressure at the moment which leads me to believe that if the gap between the Labour Party and the Conservative Party in the UK widens, we can expect to see the Pound make up ground on the Aussie Dollar and maybe even breach the 8-month high of 1.7635 it hit recently and trade towards 1.80.

The Aussie Dollar has come under pressure since China was downgraded by Moody’s earlier this month, as the Chinese economy appears to be slowing which isn’t a positive sign for the Australian economy due to the two countries close trading ties.

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.

Will the issues surrounding the Australian property market weaken AUD further? (Joseph Wright)

The Pound to Australian Dollar exchange rate hit 1.7430 at it’s highest point during today’s session, although at the time of writing the Pound appears to have lost all of today’s earlier gains.

It’s difficult to tell which way the rate will move next, although I think that it will be underlying weakness that results in the next big move for the GBP/AUD pair as both currencies are coming under pressure for differing reasons.

China was downgraded by Moody’s (a credit rating agency) for the first time in 30 years due to slowing growth in the region although markets haven’t overreacted as a slowing in growth was inevitable.

This could spell bad news for the Aussie Dollar moving forward due to the interconnected economies (Australia and China) being quite reliant on each other. At the same time further talk of the property markets in Sydney and Melbourne overheating are surfacing again, and with a slowdown in the construction sector down under becoming a talking point as well I think there could be issues for AUD later down the line.

The Pound has also come under pressure due to the terrorist attack earlier this week, and with the election just around the corner we could see further headwinds for the Pound as we get closer to the election date (the 8th of June).

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.

Factors impacting GBPAUD exchange rates (Dayle Littlejohn)

In recent months the Australian dollar has been losing ground against sterling for a few reasons. Firstly Iron ore prices, Australia’s largest export an a commodity that Australia heavily rely on has been falling in value. Last week Iron ore stockpiles at Chinese ports rose 1.7% to a record 134.25 million tons as of Friday, according to weekly data from Shanghai Steelhome E-Commerce Co. With reports suggestions China are having a slow down these stock piles continue to rise which in turn would have a negative impact on iron ore prices. Secondly the UK Prime Minister called for a snap election which also provided strength for the pound as a Conservative majority is likely which in turn would give the PM more power when negotiating Brexit.

However recent poor UK economic data has stopped the pound for making any further gains against the Australian dollar. The Bank of England have announced inflation is outpacing wage growth which is real problem for the UK public, however the Bank of England are not in the position to raise interest rates which would combat the inflation pressures.

Looking ahead I wouldn’t be surprised to see the Australian dollar continue to devalue as the FED are likely to raise interest rates in the upcoming months which would lead to a sell off of Australian dollars to buy US dollars and the also the problem with Iron ore is not going away. As for the UK as soon as the General Election is over Brexit negations will be in full swing.

The Bank of America Merrill Lynch Global Research have exclaimed Brexit negotiations could cause major swings for sterling exchange rates.  They told their clients they believe sterling’s good run is coming to an end. Personally I think it is impossible to predict how Brexit negotiations will unravel therefore gambling on this could go either way.

The currency company I work for has won numerous awards for exchange rates therefore it enables me to trade Australian dollars at rates better than other brokerages and high street banks. I would recommend sending an email with a brief description of your requirements and your timescales (this is very important, the length of time you have will change your options) and I will email you with my strategy and the process of using our company drl@currencies.co.uk. Alternatively if you would like to discuss your requirements over the phone call 0044 1494-787478 and ask to be put through to Dayle Littlejohn.

Why is the Australian Dollar weakening against the Pound, and will it continue? (Joseph Wright)

The Pound is trading at it’s 2017 high against multiple major currencies at the moment, with the Pound to Australian Dollar sitting at an 8-month high making the conversion of Pounds into Aussie Dollars a much more attractive proposition than it was for much of last year (after the Brexit vote).

The Pound has been slowly climbing since UK PM, Theresa May announced a snap election in June, and as the conservatives gain a more favourable position within the polls we’re seeing the value of sterling continue to climb.

At the same time the commodity currencies such as the Aussie Dollar have been struggling, as commodity prices have tumbled recently which is likely to have a knock on effect to the Aussie Dollars value as the Australian economy is negatively impacted as a result.

Just last week the price of Oil, Iron Ore and Copper all fell by 7% along with Gold which fell by 3%.

Tomorrow is likely to be a busy day for the GBP/AUD pair as a number of key data releases are due out. UK Interest Rates will be announced along with Inflation data and UK GDP, so there could be some major moves tomorrow. Feel free to get in touch if you wish to be kept updated regarding these releases.

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.