Tag Archives: dollar

Australian Dollar continues to make gains – Will this continue? (Daniel Wright)

We have seen the Australian Dollar have a fantastic week against all major currencies following on from both positive growth figures in China and extremely hawkish comments from the RBA (Reserve Bank of Australia) that they would be more than happy to see the cash rate in Australia make its way up to 3.5%.

Any interest rate change or even just the hint of it happening can move the value of a currency, and considering that the RBA have suggested a number of hikes with these comments we have seen the Australian Dollar soar from strength to strength. When an interest rate is raised it does make that currency more attractive to investors and with the rule of supply and demand if more people are interested in buying Australian Dollars then the price will rise.

Tomorrow morning (or overnight tonight for our readers in the U.K) we have Australian unemployment figures and this has the potential to buck the trend. Expectations are for unemployment to have increased from 5.5% to 5.6% an d should this be true then this may buck the trend for the time being.

Personally  I feel this is a prime opportunity at present to sell Australian Dollars as I still do not fully believe the Australian economy is such great shape that the RBA are hinting that it is, also, although China has recently shown good data I still feel there are plenty of issues still to resolve with the huge level of borrowing happening over there.

If you have Australian Dollars to sell or indeed buy then you need to have a proactive and experienced currency broker on your side in turbulent times such as these. If you feel I could be beneficial to you then I would be more than happy to help you. You can contact me (Daniel Wright) on djw@currencies.co.uk or by calling 0044 1494 725353 and asking for me and I will be more than happy to explain the process to you and help you put together a plan of action.

Australian Dollar gains strength after solid trade data overnight (Daniel Wright)

The Australian Dollar gained ground against most major currencies during the Asian session due to seeing Australia’s trade balance rise more than expected during May.

Exports were up, which for a export driven country is seen as a real positive for the Australian economy and indeed the Australian Dollar. We only really saw small gains for the Australian Dollar off the back of this, but it was welcomed by those with Australian Dollars to sell in the near future, after seeing AUD exchange rates drop off earlier in the week following the RBA interest rate decision and monetary policy statement.

The RBA had set a more dovish tone than had been expected, both on the economy going forward and on future fiscal policy changes, this led to Australian Dollar weakness immediately after the release and a little further weakness during trading yesterday.

Rest of the week for AUD exchange rates?

Tomorrow we have a little economic data out from China and also Non-Farm Payroll data out from the U.S.

Chinese data can impact the Australian Dollar quite heavily due to the volume exported over there and the Non-Farm data can affect all major currencies as it will alter global attitude to risk. Currently, the Australian Dollar is perceived as a riskier currency so any slight alterations in risk sentiment worldwide can impact Australian Dollar exchange rates.

With so much going on in the market at present, it is extremely important that if you have a currency exchange to carry out in the coming days, weeks or months then it is imperative that you have an experienced and proactive currency broker on your side. Here at Australian Dollar Forecast we can not only help you with up to the minute market data but we can also work with you to help you time your transfer and to get the best rate when you do carry it out.

Feel free to contact me (Daniel Wright) the creator of this website should you wish to receive more information on our services and I will be more than happy to get back to you as soon as I can. You can email me on djw@currencies.co.uk and I look forward to speaking with you.

Next week to be a busy one for Australian Dollar exchange rates (Daniel Wright)

Next week we have a flurry of economic data which will have an impact on Australian Dollar exchange rates after a fairly quiet end to the trading month.

On Tuesday we have the RBA (Reserve Bank of Australia) interest rate decision, shortly followed by the interest rate statement. At the last interest rate decision we saw no changes to rates and on top of this we also had comments that the RBA would more than likely not be looking to cut interest rates in the near future. The reason for this is to avoid adding to the current asset bubble they are witnessing and I would be surprised if that stance has changed.

It will be interesting  to see if the general view going forward has altered at all and should there be any hint towards the RBA leaning towards a cut in interest rates then we may see the Australian Dollar weaken a little.

Later on in the week we have the release of Australian import and export data early on Thursday morning, and this will also have an impact on the value of the Australian Dollar due to exports being so key for the Australian economy.

We had a report released earlier this week suggesting that there actually is a rather high debt burden in Australia at present, with household debt rising extremely rapidly which may be a concern for Australia later down the line.

My personal opinion is that I can see a small period of Australian Dollar weakness coming up as there does appear to be a few different matters out there that may lead to the Australian Dollar getting a little weaker.

If you are in the position where you may need to buy or sell Australian Dollars in the coming days, weeks or months then it is extremely important that you have an experienced currency broker on your side. You are more than welcome to get in touch with me (Daniel Wright) personally and I will be able to help you, both in terms of securing the very best exchange rate and timing your transaction. This can make the difference of thousands of Dollars.

Feel free to email me (Daniel Wright) on djw@currencies.co.uk and I will be more than happy to speak with you personally to explain exactly how I can be of assistance.

Australian Dollar feels the pinch – Quiet end to the week for economic data (Daniel Wright)

Overnight the Australian Dollar has found life rather tough, seeing losses against most major currencies, following slightly less dovish comments from the RBNZ (Reserve Bank of New Zealand) in their latest interest rate decision and statement.

This news sent the New Zealand Dollar sharply higher, which in turn weakened the Australian Dollar, making it cheaper to buy.

For the coming week or so, Australian Dollar movements may be widely based on risk sentiment and economic news from around the world, this is due to the fact that their really is very little data of note that will move the markets before the end of the month.

Whilst this is the case we must remember that in the financial markets many surprises occur, and typically it will be just when everyone lets their guard down and assumes the rate will remain stable for a short period of time that something comes out to cause quite the opposite!

In my opinion I can still see a small period of Australian Dollar weakness coming up, this is due to the slow down we are seeing in China, attitude to risk diminishing around the globe and interest rates in the U.S slowly creeping up.

In times of global uncertainty and when investors have a slightly less riskier attitude you do tend to find that currencies such as the Australian Dollar, New Zealand Dollar and South African Rand will weaken, where as the perceived ‘safe’ options such as the U.S Dollar and Swiss Franc will gain value. As i’m sure many of our readers will know there are plenty of problems around the world at the moment both economic and political so we are currently in choppy waters for investors.

If you have a currency exchange to carry out involving the Australian Dollar into any major currency then I can help you, both with the timing of the exchange and getting the best rate when you come to book it out.

Should you feel I could be of use then feel free to contact me (Daniel Wright) the creator of this website on djw@currencies.co.uk with a description of your needs and I will be more than happy to help you personally.

 

 

Markets await news from the U.K elections – This will impact AUD/GBP exchange rates (Daniel Wright)

As we await news on just how the U.K election will pan out, Sterling has remained fairly flat against the Australian Dollar throughout trading today. It had looked like Sterling would be pushing up and above the 1.75 (0.5714) mark in the past week or so but what we have seen is a slight shift in momentum and the Labour party clawing back seats in the polls.

This has caused uncertainty for the Pound which has led to the Australian Dollar making back ground against it and coming down to test the 1.70 (0.5882) level.

It does appear that if you trust the bookies odds (which were totally wrong for the referendum) we will be seeing a conservative majority and that will more than likely lead to Sterling strength, but we must also bear in mind that this will also increase the likelihood of a harder brexit so the markets could actually see this the other way and push the Pound back down.

All in all we have a very interesting 24 hours ahead for anyone looking to buy Australian Dollars with Sterling or to send Australian Dollars back into Pounds, as we could face a lot of volatility and some fantastic trading opportunities in the hours ahead.

if you are in the position where you may need to make an exchange either in the imminent future or the coming weeks and months then it makes sense to have an experienced and proactive currency broker on your side.

I have been helping clients make large exchanges to and from Australia for nearly ten years now and make sure that not only do they get the very best exchange rate but they are also kept well aware of market movements in their favour or against them.

If you feel I would be of assistance to you then feel free to contact me (Daniel Wright) personally on djw@currencies.co.uk and I will be more than happy to get in touch and help you put together a plan of action for your exchange.

Australian Dollar getting shaky due to a number of factors (Daniel Wright)

The Australian Dollar is starting to feel the pinch a little in recent trading as a number of factors are leading to a little Australian Dollar weakness.

This week so far has already given us the news that China has had a credit rating downgrade by rating’s agency Moody’s due to concerns of the spiralling debt situation over there. On top of this, investors are rushing to second guess when we will see the next interest rate change over in America and this will also be of key importance to the Australian Dollar too.

Why the rate change is so important is due to where investors will seek to hold their funds. At present Australia presents a solid interest rate compared to many other parts of the world however the U.S are slowly catching up and this is when risk perception will come into play. The closer the U.S interest rate gets to the Australian interest rate you will start to see a flow of money leaving the Australian Dollar and moving into the U.S Dollar as investors will feel that the U.S is a more stable and safer bet for their funds, so they will feel more comfortable folding funds in USD if interest rates are fairly close if not the same.

Regarding the issue with China, any bad news from China tends to be negative for the Australian Dollar as Australia exports so many goods to China so it will have an impact on the Australian economy eventually. Rising debt in China has been a concern for a long time and personally I would not be overly surprised to see Chinese debt hit the headlines on a larger scale again soon.

With this in mind we may see a tricky period for the Australian Dollar come up so there could be some great opportunities for anyone looking to buy Australian Dollars in the near future.

If you are looking to buy or sell Australian Dollars and you would like my assistance then feel free to contact me (Daniel Wright) personally on djw@currencies.co.uk and I will be more than happy to help you. Not only can the company I work for offer highly competitive rates of exchange but we are also extremely proactive in helping our clients with the timing of their exchange. If you feel you are not getting this assistance with your current broker or indeed your bank then feel free to email me directly and I will be more than happy to get in touch.

 

Pound to Aussie Dollar rate continues to fall over UK economic outlook concerns, will the downward trend continue? (Joseph Wright)

The Pound to Aussie Dollar exchange rate fell into the 1.73’s earlier today as the downward pressure upon the Pound continued.

Despite still trading in the 1.70’s the GBP/AUD pair has fallen from its 8-month high as the currency is falling against all major currency pairs, with the drop against some currencies being steeper than others with GBP/EUR’s fall down to a 5-week low bring one of the standout movers.

The main reason for the softening to Sterling’s value can be attributed to the Inflation rate within the UK and its knock on effects.

The rate of Inflation has risen to its highest level since September 2013 and this is significant as it’s come at a time when UK wage growth is stagnating. Inflation is growing at a higher rate than wage growth which is likely to negatively impact consumer spending within the UK, which is an important aspect of the UK economy.

This situation looks gloomy for the Pound moving forward as the Bank of England has ruled out a rate hike in the short term future, especially with a general election just around the corner.

I wouldn’t be surprised to see the GBP/AUD rate dip below 1.70 in the short term future, unless there’s a reversal in the steep rise of living costs within the UK.

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.

Australian Dollar finding life tough as risk sentiment decreases (Daniel Wright)

We have seen the Australian Dollar lose ground against numerous currencies over the past week or so as we have experienced a slight sell off in the perceived ‘riskier’ currencies, such as the Australian Dollar, New Zealand Dollar and South African Rand.

Investors are finding life tricky at present, with the goings on in America and various economies reporting fairly bad figures of late, it does seem that we are seeing an unwinding of carry trades along with a general sell off, leading to Australian Dollar weakness.

Carry trading is a process whereby an investor borrows money in a currency with a very low interest rate and then shifts that money over to a currency with a very high interest rate, making their return on the difference. As you start to see the Australian Dollar weaken off you also get this gather momentum as investors reverse or unwind these positions to protect themselves from adverse movement and losing the profit they have built up.

We have very little left to come out in terms of economic data from Australia for the rest of the trading week but for those looking to carry out an exchange involving GBP you should be aware that today the U.K has what has been touted as ‘Super Thursday’ where they will have the release of Industrial and Manufacturing production, trade balance, the Bank of England interest rate, inflation report and growth estimates so be prepared for some fairly volatile exchange rate movements as the day progresses.

If you have any Australian Dollars to buy or indeed sell then it is well worth getting in touch with us here at Australian Dollar Forecast. Not only to we aim to provide up to date market information but we also all work for on of the top foreign exchange brokerages in the U.K. Even if you are based in Australia we can still help you too, and we pride ourselves on being able to better the prices of all of our competitors, along with offering a high level of customer service too.

Feel free to get in touch with me (Daniel Wright) if you would like to get a quote to compare with your current brokerage, or indeed your bank and I will be more than happy to contact you personally. You can email me on djw@currencies.co.uk and I  will be in touch as soon as I can.

Australian Dollar losing ground against most major currencies (Daniel Wright)

We have seen the Australian Dollar lose ground against most major currencies this week and this trend may well continue as the week progresses.

With Donald Trump bringing in new tariff’s for Canada on trade this has led to concerns that we may see a similar situation for many other economies which could really put further pressure on the Australian Dollar as it would initially be seen as a negative for the Australian economy.

We had slightly weaker than expected inflation data for Australia earlier in the week, and we have more to be released tomorrow and although markets are expecting a small improvement, I would be surprised to see any large gains for the Australian Dollar this week as I feel the trend is well and truly against it at present.

Tomorrow we also have GDP (Gross Domestic Product) figures over in the U.S and this can have an impact on all major currencies as it has an affect on global attitude to risk. GDP is essentially how much the economy grew or shrank during a specific period and the reason the U.S figure is so key for the Australian Dollar is due to the fact that it will be key for their decision on their next interest rate change, and should the U.S hike interest rates again I would expect to see the Australian Dollar weaken further.

If you put yourself in the position of a large investor, you would more than likely prefer to hold funds in the less risky USD rather than the more volatile AUD and interest rates for the two are getting closer, the closer they get the larger the flow out of AUD and into USD, hence making the AUD weaker over time.

If you have the need to buy or sell Australian Dollars for emigration, property or business requirements and you would like my assistance then feel free to get in touch with me (Daniel Wright) directly on djw@currencies.co.uk .I regularly have clients contact me who find that not only can they save money and get a better rate than their current provider but also that our service is exceedingly smooth too.

Australian Dollar starting to weaken off as interest rate hike chances start to fade (Daniel Wright)

The Australian Dollar is having a slightly rocky time of it at present, due to investors and speculators starting to reverse their opinion that they expected an interest rate hike from the RBA fairly imminently.

The original expectation that the interest rates may rise was due to the economy being in good form and the housing market also rising fairly rapidly, an interest rate rise would help to slow this slightly as it makes it more expensive to get a mortgage therefore should hold demand back a little.

It does appear now that with iron ore prices dropping near to the lows of the year and concerns about China creeping back into the market we may have a slightly shaky period ahead for those holding Australian Dollars, and that Australian Dollar exchange rates may fall in the coming weeks, making the Australian Dollar cheaper to buy.

There are now speculators and investors that expect an interest rate cut from the RBA before the end of the year, this would lead to a large drop in the value of the Australian Dollar. An interest rate cut is generally seen as negative for the currency concerned and a rate hike seen as a positive.

With the decreasing difference between U.S and Australian interest rates too, this is having more of an impact than it usually would as investors would rather have funds sat in USD than AUD as it is perceived as a less riskier currency.

If you have any Australian Dollars to buy or indeed sell then it is well worth getting in touch with us here at Australian Dollar Forecast. Not only to we aim to provide up to date market information but we also all work for on of the top foreign exchange brokerages in the U.K. Even if you are based in Australaia we can still help you too, and we pride ourselves on being able to better the prices of all of our competitors, along with offering a high level of customer service too.

Feel free to get in touch with me (Daniel Wright) if you would like to get a quote to compare with your current brokerage, or indeed your bank and I will be more than happy to contact you personally. You can email me on djw@currencies.co.uk and I  will be in touch as soon as I can.