Tag Archives: currency transfer

Will Australian Unemployment data send GBPAUD rates towards 1.80? (Tom Holian)

We are in for a big end to the week for anyone looking to transfer Australian Dollars as tomorrow brings with it a number of economic data releases down under.

We start tomorrow with the latest Unemployment figures for January as well as the Participation Rate which rose last month showing a small slowdown in Australia and this has weakened the AUD vs GBP following last month’s announcement.

I expect another slightly negative release for Australia overnight and I think this could provide the Pound with some support vs the Australian Dollar sending GBPAUD exchange rates in an upwards direction.

The Australian Dollar has remained under a lot of pressure against Sterling since the start of the year as the Australian economy has shown signs of a slowdown with the RBA unsure about what to do with monetary policy.

Inflation levels are very different from the west to the east coast and so a change in interest rates will not necessarily be of benefit to the whole country which is why the RBA are likely to keep interest rates on hold.

Meanwhile, the UK have hinted that the next interest rate hike may be coming in May and this is why I think we could see GBPAUD rates heading towards 1.80 before the end of the month. We end the week with RBA Governor Philip Lowe addressing the market so make sure you’re prepared to move quickly.

If you’re in the process of looking to transfer Australian Dollars and would like to save money compared to using your own bank then contact me directly for a free quote.

Having worked for one of the UK’s leading currency brokers for 15 years I am confident not only with being able to offer you better exchange rates but also help you with the timing of your trade.

For further information or a free quote email me directly and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk 

AUD Forecast – UK Foreign Secretary Boris Johnson Speaking Today (Matthew Vassallo)

GBP/AUD rates have remained flat overnight, as the markets turn their attention towards today’s speech by UK Foreign Secretary Boris Johnson.

The speech is expected to outline the governments vision to untie both the Leave & Remain camps and whilst it has been sanctioned by No 10, Boris has a tendency to deliver the unexpected.

The speech is likely to have strong undertone but it is no secret of Boris’s political ambition and any indication of a fractured government, or disjointed approach to the Brexit talks, could put pressure back on the Pound.

In truth, Sterling has held its positions against the AUD better than it has against many other major currencies, with GBP/AUD rates continuing to float around 1.77.

Commodity based currencies such as the AUD are often considered riskier currencies for investors. This means that at time of global prosperity when investor confidence is high, funds will be moved away from the safer haven currencies such as the USD or CHF and into these potentially higher yielding ones.

Whilst there is no direct correlation to the currency markets, last week’s downturn in the global stock markets has seemingly sapped investors risk appetite and as such this is likely to put pressure on commodity based currencies such as the AUD.

Whilst there are many external factors to consider, this is one of the reasons why the AUD is struggling to make much of an impact against GBP, despite the currency uncertainty engulfing the UK economy.

If you have an upcoming GBP or EUR currency transfer to make, you can contact me directly on 01494 787 478. We can help guide you through this turbulent market and as a company we have over eighteen years’ experience, in helping our clients achieve the very best exchange rates on any given market.

Our award inning rates can be accessed very easily over the phone and I can keep you posted with key market developments ahead of any prospective exchange you need to make.

Feel free to email me directly on mtv@currencies.co.uk to find out all the options available to you ahead of your currency transfer.

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.

Inflation to influence GBPAUD exchange rates

Tomorrow morning the UK will release their latest inflation numbers and a slight fall is to be expected. Normally a slight fall would lead to a weakening pound however I expect a fall in inflation could strengthen the pounds position against the Australian dollar. My reasoning is that the Bank of England last week announced they expect inflation to fall and wage growth to rise, which will lead to an interest rate hike. The release is at 9.30am for further information in regards to the inflation release feel free to email me on drl@currencies.co.uk.

Later in the week (Wednesday) Boris Johnson is set to address the public in regards to Brexit. The aim of the speech is to unite remain and leave voters. Past history leads me to think that Mr Johnson may go off topic, especially if he is asked about Michel Barnier’s comments last week. For clients buying Australian dollars with pounds, I would be tempted to take advantage after the inflation numbers and not wait for Mr Johnson’s speech.

Economic data releases are thin for Australia until Thursday at 1.30am in the morning. Unemployment and employment change numbers are to be released. Unemployment numbers are set to fall to 5.3%, which is fantastic for the Australian economy. Employment change numbers are set to show a slight decline however I expect the Unemployment numbers to outweigh the employment change numbers, therefore I expect a positive morning for the Australian dollar.

If you are buying or selling Australian dollars in the future, I would strongly recommend getting in contact to discuss your situation. The company I work offers a proactive service to offering economic information whilst having the ability to offer award winning exchange rates. Feel free to email me with your requirements along with the timescales you are working to and I will respond with my forecast and the process of using our company drl@currencies.co.uk.

Brexit jitters causes the Pound to fall against the Australian Dollar (Tom Holian)

In what has been a very volatile week on global stock indices the GBPAUD exchange rate has started to move in a negative direction during the course of trading on Friday.

After touching close to 1.80 against the Aussie Dollar on Thursday the gains have now been eroded.

The Pound rallied on Thursday afternoon following the Bank of England’s latest interest rate announcement.

Although the central bank kept rates on hold there is now an increased chance that a rate hike now may come as early as May.

UK growth forecasts for both this year and next were raised which gave the Pound a real boost against the Australian Dollar.

However, since early on Friday morning the Pound has once again started to fall against the Australian Dollar.

UK Trade Balance figures showed a decline on Friday morning and combined with comments from EU Chief Negotiator Michel Barnier this led the Pound to decline against all major currencies.

Barnier suggested that the transitional period which takes place between March 2019 and December 2020 is far from getting resolved which could cause problems for the UK when it next meets in March to discuss phase 2 of the Brexit negotiations which are to be focused on future trade agreements.

The Irish border issue appeared to be sorted back in December but now this could raise issues with the movement across the border and the uncertainty has caused the Pound to fall.

As we go into next week the UK releases its latest set of inflation data predicted to come out at 2.9%. With inflation continuing to remain high if we see the data come out the same or higher than expected this could see the Pound make a recovery as it provides further support for a future interest rate hike.

If you have a need to buy or sell Australian Dollars in the near future then feel free 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 compared to your bank or another currency broker.

Even a small improvement in the exchange rates can make a big difference so feel free to to email me and you may find you could save yourself hundreds if not thousands of Pounds. 

Having worked for one of the UK’s leading currency brokers since 2003 you can email me (Tom Holian) on teh@currencies.co.uk and I will respond to you as soon as I can.

 

GBP/AUD remains at 1.77 after RBA opts to hold interest rates (Joseph Wright)

The Reserve Bank of Australia last night chose to keep interest rates unchanged, which was the expected outcome from economists leaving the currency markets unchanged at 1.5%.

This was the first chance the RBA had to make a change this year, and the base rate has remained at 1.5% for around a year and a half now. Many central banks have opted to hike interest rates in recent months, and should this continue it will result in the Australian interest rates being uncompetitive and therefore AUD weakness in my opinion.

Last year AUD benefited from offering one of the highest interest rates in the developed world. Investors are keen to hold funds in a high yielding currency but should AUD lose its competitive edge, it’s likely that money will be taken out of the Aussie Dollar and we’ll see it fall.

Politics also have the potential to move the GBP/AUD pair, especially at the moment as the European Union’s chief Brexit negotiator Michel Barnier is in London to discuss the UK’s plans and proposals for Brexit this week.

Those following the Pounds value should be aware of this and the potential it has to impact GBP exchange rates should any key comments be made, and do feel free to register your interest with me if you wish to be updated in the event of a major rate spike.

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.

AUD Forecast – Will Sterling’s Recent Upturn Continue? (Matthew Vassallo)

GBP/AUD rates are trading around 1.78 on the exchange this morning, with the AUD seemingly finding support around this level.

The Pound has found a foothold above 1.75 over recent weeks, with investor confidence seemingly returning to the Pound despite the on-going uncertainty around Brexit.

Whilst the Pound has made positive inroads of late, the current trend may not be sustainable as we head into a key phase of the Brexit talks.

Poor UK Manufacturing data yesterday did little to further boost Sterling’s value, with the Pound struggling to make any impact above 1.78 against the AUD.

With the global markets seemingly improving , there is also an argument to say that investors risk appetite will improve alongside it. Usually this means than they will move funds from the safer haven currencies such as the USD & CHF, into more risky and potentially higher yielding currencies such as the AUD or NZD.

It is interesting to note that the USD has declined of late in line with this theory and it could be that the AUD is in line for a positive run over the coming weeks.

Whilst the currency markets are extremely difficult to dissect, particularly in times of uncertainty, I am not convinced that Sterling will continue on an upwards aggressive curve.

The Australian economy continues to perform well and being a commodity based economy, relies heavily on the export of its vast supply of raw materials. With its largest trading partner China showing no signs of an economic slowdown, this is likely to help support the Australian economy and ultimately the AUD over the coming months.

The Reserve Bank of Australia (RBA) will not want to see the AUD’s value soar, of fear of alienating their trade partners but this undertone is likely to be offset by the on-going concerns surrounding Brexit and its outcome.

These concerns were laid bare by a leaked Government report earlier this week, which indicated that the UK will be worse off after Brexit. The report covered all three Brexit scenarios, including a free trade agreement, access to the single market, or the worst case scenario of no deal being reached at all.

The Government were quick to react and said the findings were only a preliminary assessment but the news is hardly likely to inspire confidence amongst investors.

Therefore despite the Pounds positive run  further pressure over the coming days and weeks is a distinct possibility, as  Brexit talks starting to dominate the headlines once more.

If you have an upcoming GBP or AUD  currency transfers to make, you can contact me directly on 01494 787 478. We can help guide you through this turbulent market and as a company we have over eighteen years’ experience, in helping our clients achieve the very best exchange rates on any given market.

Our award inning rates can be accessed very easily over the phone and I can keep you posted with key market developments ahead of any prospective exchange you need to make.

Feel free to email me directly on mtv@currencies.co.uk to find out all the options available to you ahead of your currency transfer.

FED interest rate decision to impact Australian dollar exchange rates

This evening the Federal Reserve (United States Central Bank) will release their latest interest rate decision and for the last time Chairlady of the FED Janet Yellen will give her last press conference as Chair. For clients that are buying or selling Australian dollar it’s important to understand that decisions made in the US have a direct impact on Australian dollar exchange rates.

In recent weeks most major currencies have benefited from the demise in the US. President Donald Trump at present is trying to pull the US out of NAFTA which is the trade agreement between the US, Mexico and Canada. These negotiations are on going and could take 12 months. Nevertheless the US dollar has lost value and the Australian dollar has benefited.

The FED decision tonight could indicate whether the UK will raise interest 3 times this like predicted at the beginning of the year or if forecasts have changed. Personally I expect this release to weaken the US dollar further which could benefit most G10 currencies. Later in the week Non farm payroll numbers, which is the amount of jobs created in the US will be released at 1.30pm and this release could also have an impact on exchange rates.

The next key data release to look out for in regards to the Australian economy is the interest rate decision on the 6th. Inflation numbers showed a slight improvement in January, however the Reserve Bank of Australia are unlikely to hint towards any rate hike anytime sooner. Therefore I don’t expect this event to help provide strength for the Australian dollar.

If you are buying or selling Australian dollar in the upcoming weeks, months or years feel free to email me with the reason for your conversion (company invoice, buying a property) and the timescales you are working to and I will email you with my forecast and the process of using our company drl@currencies.co.uk.

** If you are already using a brokerage and would like to know if you are receiving the best rates possible email me with the exact figures and I will reply with our live price. This will take you minutes and in the past I have saved clients thousands! **

 

 

Is now the time to sell Australian dollars and buy pounds?

In recent weeks the pound has been making gains against the Australian dollar and I expect this trend to continue in the weeks and months to come.

This weeks UK GDP and Average Earnings numbers exceeded expectation which pushed GBPAUD exchange rates back towards 1.77. Over the last 12 months the Bank of England have made it clear that they are concerned with inflation and low average earnings.

Now that average earnings have started to rise and forecasts are suggesting inflation will fall this year due to the boost in the pounds value, futures market are predicting a 50% rate hike in May and a 80% chance of a hike by November by the Bank of England, which should provide further strength for the pound.

Brexit negotiations are also going well for the UK as trade discussions begun this year and in March we will get a full update of how the trade talks are going. It feels that sentiment has also changed as European leaders continue to back the UK. Last week French President Emmanuel Macron announced the UK can have a special trade relationship with the EU and this wee German Chancellor Angela Merkel speaking at the Davos summit gave hope to UK businesses when she explained she wants to keep the UK as close to the EU as possible post Brexit.

So all in all it’s looking promising for the UK and the pound. However this doesn’t look like the case down under. Many of the leading banks including Westpac are forecasters a slow down for the Australia as interest rates will remain on hold and commodity prices will fall throughout the year.

Economic indicators are suggesting that the pound will continue to make inroads against the Austrian dollar therefore Australian dollar sellers buying sterling should look to make a transfer sooner rather than later.

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.

Will the Pound increase further against the Australian Dollar? (Tom Holian)

We have seen some very positive gains for the Pound vs the Australian Dollar since the start of the year with GBPAUD exchange rates moving by as much as 3.5%.

This is the difference of almost £4,000 on a currency transfer of AUD$200,000 which highlights the importance of keeping up to date with what is happening in the foreign exchange markets.

As Australia Day was celebrated yesterday the markets remained fairly flat but I think we could see some further gains for Sterling coming next week. On Friday UK GDP figures for the final quarter of last year came out a lot better than expected with economic growth of 1.7% compared to the expectation of 1.4%.

The UK economy has been rather mixed over the last few months but could this be a sign that things are now looking a lot more positive for the UK and therefore Sterling?

Westpac, which is one of the leading banks in Australia, have suggested that the Australian Dollar could weaken during the course of this year as the RBA may not look at raising interest rates and they have also predicted that commodity prices could fall by as much as 20% during the course of this year.

With the US predicted to increase rates at least twice this year we could see a big sell off from the Australian Dollar into the US Dollar and this in turn could weaken the Australian Dollar vs Sterling.

Therefore, if you’re considering selling Australian Dollars in the near future it may be worth getting things prepared in the short term.

On Wednesday Australia releases its latest set of Inflation data and this is likely to influence what the Reserve Bank of Australia does with regards to monetary policy going forward.

If you have a need to make a currency transfer involving Australian Dollars in the near future then feel free 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 compared to your bank or another currency broker.

Even a small improvement in the exchange rates can make a big difference so feel free to to email me and you may find you could save yourself hundreds if not thousands of Pounds. You can email me (Tom Holian) on teh@currencies.co.uk and I will respond to you as soon as I can.