Tag Archives: currency
Pound up against the Aussie. Short term predictions
Sterling has rallied nearly 1% against the Australian Dollar. Overnight the Bank of Japan increased stimulus as it aims to double the monetary base over two years through the aggressive purchase of long-term bonds, in a dramatic shift aimed at ridding Japan of the deflation that has dogged the country for almost two decades. This is a bold move for the new central governor Haruhiko Kuroda and may shift investors risk apetite. As a result the JPY has devalued and with the Yen often heaviliy involved in currency speculators risk portfolio this may create significant shifts in currency trends over the coming days creating volatility for the safe haven currencies (historically USD and CHF) and many riskier assets such as the AUD, NZD, ZAR and EUR. Watch out for some big shifts over the next few working days, and possibly some unexpected opportunities for AUD buyers.
Should you have any upcoming money transfers to arrange and you have found this blog useful then why not contact us to see what we can do for you? The purpose of the site is to give you independent market views to help you make an informed decision with your currency exchange. By giving yourself as much information as possible it can put you in a far stronger position when attempting to maximise your currency exchange, allowing you to limit your exposure to adverse market movement. Should you wish to find out more about the specialist currency service we provide, whether you are a private or corporate client, then we can help. Please get in touch either on 01494 787478 or by emailing me with a brief description of your individual requirement and I will happily contact you and run through your options. You can reach me direct at mgv@currencies.co.uk
A slight rebound for Aussie rates.. How far can we expect it to go and will it last?
GBPAUD has rebounded after touching the lows of 1.50 over a week ago. Australia has called an election for September which has potentially created some uncertainty. I expect the Aussie will weaken in the short term and that we could see some better buying levels, however these are unlikely to be sustained.
Tomorrow we have the HSBC Manufacturing PMI from China which is usually one of the big market movers on AUD as the Chinese economy is one of the big drivers of Aussie strength.
The current trend lately has been Aussie strength and there does appear to have been a little uncertainty creeping back into the market, particularly with the US economy reporting -0.1% growth this week. I expect the Aussie could weaken by a cent or so tomorrow unless the PMI data is much better than expected. If you are buying Aussies this could be a good time to buy since generally speaking the UK and the pound is suffering at the moment.
If you have an AUD currency transfer to consider why not get in touch to be kept up to speed with the latest news and events that will move your rate. We always aim to get our clients much better rates than other sources and would be pleased to speak with you to ensure you don’s suffer at the hands of bad exchange rates or complacency. Please feel free to contact me Jonathan directly on 00 44 1494 787 478 or email me jmw@currencies.co.uk for more information.
I look forward to hearing from you, thank you.
What is happening to the Australian Dollar following Hurricane Sandy
With Hurricane Sandy seemingly passed through the US and coming to an end the clean up operation has already started. With a few million people still without power and the New York Stock Exchange having closed yesterday for the second time in over 27 years the currency markets have been holding their breath before they decide their next move. It doesn’t appear that the cost is too devastating to the US which was the initial fear about its impact on the economy. With this is mind the USD has maintained its range for EURUSD GBPUSD & AUDUSD.
Moving the focus more directly to what is happening to the Australian Dollar at the moment one of the reasons why it has remained quite strong during October is that the various stimulus programmes in both Europe and the US have kept the AUD very strong but also with the potential to cause the RBA to look at cutting interest rates again. Personally I don’t think we’ll have a cut during November as the RBA will take a pause to see if the recent rates cuts have had the desired effect. Indeed, the stimulus has reached USD5 trillion in government bonds and mortgage securities which have appeared to cause the modest global recovery.
The demand felt by overseas investors in Australia has kept the currency strong even with the interest rate cuts earlier this year so until the RBA is more in line with Europe, the US or the UK I don’t think the currency will experience a huge movement purely by interest rate movements.
If you have a currency requirement and would like to save money when buying or selling Australian Dollars please feel free to email directly with how to do so Tom Holian teh@currencies.co.uk
GBP/AUD breaks through 1.58 with the dollar losing 7% against the pound since August.
Pound exchange rates have continued their recent strong run against the Australian dollar breaking through the 1.58 barrier for the first time in 4 months and bringing losses for the dollar to nearly 7% since the first week of August. This is a difference of AUD 22,000 on a £200k position. Should you be looking to buy dollars in the near future then I feel this may represent a good time to take advantage. Likewise should you be selling dollars in the near future and do not have full availability of funds, a forward contract may well be something you wish to consider. This contracts guarantees your rate for a delivery period in the future, to discuss this contract and the process in more detail please email me on mgv@currencies.co.uk
Will the AUD break 1.60?
I feel the pound will meet resistance at these levels and would expect sterling values to fall in the coming months as QE in the UK is likely in November. Yes we may see another interest rate cut in Australia however I do not feel this will happen until the new year. I feel GBP/AUD is reaching its peak short term and can see a correction to 1.55 with a move back towards the 1.60 territory in Q1 2013.
To discuss my views and your thoughts on the current market conditions please contact me either by email at mgv@currencies.co.uk or by calling 01494 787478. Having worked in the currency markets for over 6 years I have assisted numerous clients with their currency transactions, ranging from property completions, monthly mortgage payments and corporate transfers a like. As one of the UK’s longest running independent brokers we have access to highly competitive commercial rates of exchange that our clients take advantage of on a daily basis. Similarly these multiple sources helps keep us ahead of many of our competitors as we actively seek to get our clients the best available market prices.
Should you have an upcoming money exchange to arrange and would like more information on the service we provide as for Mike a mgv@currencies.co.uk and I will gladly assist you.
Sterling posting good gains against the AUD, will this last?
Sterling exchange rates have rallied at the start of the trading week peaking just shy of 1.56 yesterday – bringing gains close to 3 cents since the start of the week. Movements appears to be as a result of AUD weakness as opposed to GBP strength following news that the central bank in Australia will consider further monetary easing in the months to come. This could well lead to continuation of the current trend and a move towards 1.60, although those buying AUD in the short term watch out for the Bank of England minutes this morning at 09:30. These minutes will give insight as to what the Monetary Policy Committee has in store with regards to monetary stimulus. The main aspect to look for is whether more QE was discussed – if this was then I would expect to see a fall in the value of GBP. Personally I think QE is on their minds but possibly not before Christmas and as a result I think the minutes are unlikely to cause too much negativity and I would expect to see GBP/AUD push towards 1.56 and beyond.
Should you have a need to buy or sell AUD, whether it be to GBP, EUR or any major currency and you would like to discuss the current market trends and forecasts then please do feel free to contact me. I personally feel the AUD will continue to fall against a host of currencies due to a number of factors (potential monetary easing as discussed above), a fall in commodity prices, and also the falling out put form Australia’s main importer – China. Factors here suggest a period of sustained dollar weakness, gpotentially good news for some as the dollar has been strong for so long.
As a specialist currency broker we have access to a number of different tools to help maximise and time your exchange. To discuss the service we provide in more detail and to run through your individual trade then please contact Mike directly on mgv@currencies.co.uk or call 01494 787478.
Like Our Facebook page for key exchange rate offers, competitions and a daily market report from currency experts!
Good morning all, once again today will be key for exchange rates with Greece being in the headlines today. Our latest market report can be seen on our facebook page which can be found on the link below – like the page and not only will you be kept up to date with market movements but we will also have special offers, polls and competitions on there soon!
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Forecast for the Australian Dollar. GBP/AUD, AUD/EUR
Over the course of the weekend we have seen continued strength from the Australian dollar, will this continue? This morning the pound is again losing ground against the Aussie, however the pound is down across the board so this would appear to be Sterling weakness rather than a continuation of strength form the Australian Dollar. The pound could be in for a rocky week in the run up to GDP estimates from the NIESR (National Institute for Economic and Social Research) a well regarded think tank. Figures are often relatively accurate and will therefore be viewed closely. Should the figures continue to show a negative etrend then we could see further moves towards 1.47 – just 1 cent of the record levels seen in February this year and creating some fanatastic sell opportunities for anyone holding Australian dollars. Also this week for anyone looking at GBP/AUD we have the Bank of England inflation report on Wednesday at 10.30 – keep an eye on this foany clues as to future Montary policy from the Bank of England.
Prior to this anyone with an interest in teh Aussie should keep an eyo the Reserve Bank fo Australia interest rate decision overnight. We are expecting to see rates on hold at 3.5% but any announcements from the Reserve Bank may cause short term swings, however I would still expect the Australian dollar to continue to see positive movements ands can see 1.47 on GBP/AUD and EUR/AUD down towards 1.16 – although I do feel the Aussie is beginning to reach its peak and any AUD sellers should sseriously consider taking advanatage.
As a specialist curreny broker the aim of this blog is to help private and corporate clients make the most of their currency exchange. When moving large sums of money it is highly important to have access to best prices, though using the services of a specialist broker it enables you to keep up todate with current market trends and data sets that may affect yoru exchange. It is not uncommon to see the amrket move well in excess of 1% in a day and timing yoru exchange can make a very big diffeerence to the amount of currency your receive. Here at currencies.co.uk we have a number of contracts available to maxmise or guarantee yoru exchange, to discuss these in more detail and my opninons on the market then please email Mike at mgv@currencies.co.uk or call on 01494 787478.
Australian Dollar nears record high against the Euro – AUD EUR rates may break through today
Good evening readers,
Those of you with an interest in converting Australian Dollars to Euros will more than likely be looking at the markets with quite a smile on your faces at the moment as the exchange rate nears a record high. We have touched inside 0.50% of breaking record levels and today could be the time that it breaks through.
We have the European Central Bank interest rate decsion due out at 12:45pm GMT today and this may throw up the final push that this rate pairing needs to hit the next level, and a record breaking one at that! Europe has been quite the talking point over the past few years and with the Australian economy still performing fairly well with some thanks to China the Australian Dollar has followed suit and virtually had a man of the match performance in this global economic crisis.
If you have had your sites set on buying a property in Europe, you are emigrating back to Europe or there is a boat you have your eye on then now may be the perfect time to make full use of the strength of your currency while it is still in such a great position. I can assist you with this if you do have a requirement such as this both in terms of being proactive and keeping you up to date with what is going on and by securing you the best possible rate of exchange when you do carry out your transfer. I reguarly find I can better rates from companies such as Oz Forex or any high street bank so feel free to contact me directly on djw@currencies.co.uk and I shall be more than happy to help you.
Australian Dollar quiet following Chinese data release
During the quiet Easter break the Australian Dollar has remained flat against most majors even after strong Chinese trade data. In recent weeks the Chinese economic impact has been felt by the Australian Dollar which has dropped against Sterling and Euro. With the trade surplus measure at over $5bn in March compared to an enormous deficit of over $31bn in February the AUD$ has not moved in line with the results.
Later on today we have the release of Australian Consumer Confidence which is expected to come in low at -5%. Any improvement could see the AUD return to strength after a poor first quarter. With the currency movements since the turn of the year this has helped make Australian goods and services a little more competitive. The mining industry has driven the Australian economy over the last few years and its reliance on China’s growth has been evident in reflecting the exchange rate movement. With the new mining tax coming into play as of 1st July this could have a further negative impact on the Australian Dollar but it could mean cheaper Dollars for those looking to send money to Australia during this summer. If you need to move GBP into AUD please do not hesitate to contact me for commercial levels of foreign exchange from AUD$5,000 upwards. Contact Tom Holian teh@currencies.co.uk
