Tag Archives: sterling

Will GBP/AUD breach 1.70 soon? Sterling back in fashion? (Daniel Wright)

We deal with a lot of clients moving money to and from Australia and many that have had to move money into Australian Dollars have had a tough time of things since the referendum in the U.K.

Recently we have seen the pound start to stage a fight back following the victory for Donald Trump and the riskier currencies starting to take a slight turn for the worse.

On top of this, economic data in the U.K has not exactly been anywhere near as bad as the main economists had thought that we may see and the chance of article 50 and the start of official ‘brexit’ negotiations may well be being pushed back.

We do not have a great deal of economic data out for the rest of the week for Australian Dollar followers, however, with Thanksgiving day on Thursday trading levels will be thinner on the ground so this can lead to volatile swings in the market.

Going back to the title of this post I personally feel that we may see GBP/AUD move back above the 1.70 mark in the near term as the tide appears to be turning in favour of Sterling.

If you are in the position that you may need to buy or sell Australian Dollars in the coming days, weeks or months then it is well worth you getting in contact with me directly, I have been getting clients much better rates than well known Australian based online platforms and can save you money over the banks and other brokers. We typically help clients with exchanges over 20,000 Australian Dollars and try and help both with the timing of the transfer along with getting you market leading rates when you do decide to book your currency.

Feel free to contact me (Daniel Wright) if you are in this position and require my assistance. You can email me directly on djw@currencies.co.uk and i will be more than happy to get in touch personally.

UK interest rate decision to cause huge volatility for GBPAUD exchange rates (Tom Holian)

The Bank of England are due to meet tomorrow at midday to announce their latest interest rate decision. Since the vote to leave the European Union back in June Sterling has fallen by as much as 40 cents vs the Australian Dollar and shortly after the Brexit vote the Bank of England chose to cut interest rates to 0.25%.

Bank of England governor Mark Carney has been publicly criticized by some politicians as to his gloom and doom mongering since June but he has been very strong willed and spoken out in defence of his decision.

Indeed, Carney has extended his tenure for another year taking him up till 2019 which briefly provided the Pound with some support against the Australian Dollar.

However, tomorrow we could see an interest rate cut and if we do or even hints that one could be coming this could cause Sterling to fall again vs the Australian Dollar.

The Pound has really struggled since the Brexit vote and more recently the official announcement made by Prime Minister Theresa May that Article 50 will be triggered in March 2017.

Australian Import & Export data is due overnight and I think with the recent rise in value of Australian commodities this could see further Australian Dollar strength overnight if the economic data is better than expected.

Having worked in the currency markets since 2003 I am confident of being able to offer you better exchange rates when buying or selling Australian Dollar compared to using your bank.

For further information or for a free quote then feel free to contact me directly and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

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Sterling vs Australian Dollar at lowest level since May 2013 owing to Article 50 Pressures (Tom Holian)

As predicted in my previous articles Sterling has continued to fall and has now dropped to below 1.60 for the first time since May 2013 as confidence in the Pound has fallen.

The Pound has dropped against all major currencies recently following the announcement by UK Prime Minister Theresa May that Article 50 will be triggered in March 2017. The uncertainty caused by the vote to leave the European Union has seen Sterling falling by over 40 cents since the Brexit vote and we could see Sterling continue to fall against the Australian Dollar.

French president Francois Hollande spoke out recently saying that European leaders should be firm in their negotiations with the UK and should make things as difficult as possible in order to discourage other nations to think about leaving.

Indeed, Sterling vs the US Dollar is now trading at just above 1.20 on the Interbank level which is seriously concerning for the British economy. With most of our goods coming from overseas effectively the cost has gone up by 20% since the Brexit vote and it is only a matter of time before this is passed on to the British consumer which will have an impact on inflation levels.

The Bank of England governor Mark Carney yesterday said he wasn’t too concerned about foreign exchange and has confirmed that the central bank’s main issue is that of inflation.

Therefore, with their next meeting due to take place in November I think we could see another interest rate cut which is likely to be detrimental to the value of Sterling.

We could see GBPAUD rates go lower as the RBA don’t appear to be looking at cutting rates anytime soon.

If you need to buy Australian Dollars before the end of the year it may be worth looking at buying a forward contract which allows you to fix an exchange rate for a future date.

Having worked in the foreign exchange industry since 2003 I am confident of not only offering you better exchange rates compared to using your bank when buying or selling Australian Dollars but also help you with the timing of your transfer.

If you have a currency transfer to make and want to save money on exchange rates compared to using your own bank then contact me directly for further information or for a free quote and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

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RBA keeps interest rates on hold which sees GBPAUD exchange rates hit 3 year lows (Tom Holian)

The rate to buy Australian Dollars with Sterling has hit its lowest level for 3 years as the Reserve Bank of Australia has decided to keep interest rates on hold last night. There was a small chance that the RBA would cut interest rates but they chose not to which caused the Australian Dollar to strengthen vs the Pound.

Today we have seen the Australian Dollar drop to its lowest levels since summer 2013 which is good news if you’re looking to convert Australian Dollars into Sterling.

The Pound has also really struggled against the Australian Dollar since the news that Prime Minister Theresa May will look to trigger Article 50 by March 2017.  The uncertainty of whether we’ll have a ‘hard’ or a ‘soft’ Brexit is also causing concern for the Pound and confidence has fallen and we are seeing the Pound fall against all major currencies.

We have hit the lowest level to convert GBP into USD in 31 years and now a 3 year low to convert GBP into AUD.

During September it was also confirmed that Australia has celebrated a total of 25 years of uninterrupted growth as the economy managed to avoid recession due to their heavy reliance on China.

If you are thinking of moving to Australia in the future and are concerned about the market continuing to fall then it may be worth considering a forward contract which allows you to fix an exchange rate for a future date.

Having worked in the industry since 2003 I am confident of not only offering you competitive exchange rates but to also help with the timings of your currency exchange. If you need to buy or sell Australian Dollars and would like further information or a free quote then contact me directly via email and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

Australian Dollar continues to remain strong as RBA throws up no surprises (Daniel Wright)

The RBA didn’t throw up any big surprises to the markets in trading today as interest rates were left on hold and there were less signs than usual of any future interest rate reductions… Former Governor Glenn Stevens did seem to like leaving a few hints out there for future policy just to keep tongues wagging between investors.

The Australian Dollar has surged against the Pound in recent months following the referendum, the announcement by Theresa May on Sunday that the U.K would be progressing with Article 50 by the end of March and just the general way that the Pound has fallen out of fashion  over the past few months.

With this in mind my personal view is that this is a fantastic time to be exchanging Australian Dollars into Sterling and the key in these scenarios is not to get too greedy as there are plenty of issues out there that may turn the tide back.

All you need to do is look at the issues in China, the potential of an interest rate hike in the U.S and the potential that once his feet are under the table that new Governor Philip Lowe may have larger plans than he has hinted at and we could well see this trend turn around fairly quickly.

I personally have assisted hundreds of clients bring Australian Dollars back into Sterling over the past couple of months and would be more than happy to help you too. Not only can we achieve much better rates of exchange than the banks but it is rare we cannot significantly better other well known brokerages too so it is well worth getting in touch with me if you find this website useful.

You can email me (Daniel Wright) creator of this site 5 years ago on djw@currencies.co.uk with a description of your requirements and I will be more than happy to contact you personally to discuss the options available to you.

Australian Dollar strengthens against Pound Sterling owing to positive US GDP data (Tom Holian)

US GDP data published this afternoon for the second quarter of 2016 has been revised upwards to 1.4% from 1.3%.

Indeed, US unemployment data, retail sales and inflation are all showing positive signs and this has furthered the argument that the US is gearing up for an interest rate hike prior to the end of the year.

The Australian Dollar has strengthened vs the Pound to below 1.70 on the Inter-bank level providing some excellent levels to sell Australian Dollars into Sterling.

The change in leadership for the Reserve Bank of Australia has had little impact on GBPAUD exchange rates and although I expect Sterling to recover in the longer term once the issue of Article 50 has been resolved I think the uncertainty surrounding the future of the relationship between the UK and the European Union could keep Sterling under pressure against the Australian Dollar.

Tomorrow morning could be the tipping point for the short term trend for Sterling vs the Aussie Dollar when revised UK GDP figures are released for the second quarter. The expectation is for 0.6% growth so anything different could cause some volatility between the GBPAUD rate.

If you’re in the process of making a currency transfer over the next few weeks between Sterling and the Australian Dollar and would like to avoid the uncertainty of what may happen to rates it may be worth considering buying a forward contract which allows you to fix an exchange rate for a future date.

I’m celebrating my 13th anniversary today as a currency broker and would be delighted to offer you a rate to convert Australian Dollars compared to using your own bank. Working for one of the UK’s leading independent currency brokers I’m confident that I can save you money on exchange rates.

Email me directly or fill in the box below. Tom Holian teh@currencies.co.uk

 

 

 

A quiet week for economic data however Australian Dollar exchange rates will no doubt remain volatile (Daniel Wright)

So this week we have very little out in terms of economic data for the market to feed off of, however do not let that fool you into thinking that we are going to have a flat market over the course of the week.

Last night we saw the U.S debates between Trump and Clinton and it appears that =Clinton came out on top which led to a little strength for the Australian Dollar due to riskier currencies coming back into fashion.

One of the key things to look out for, on top of commodity prices and general risk appetite is what we see happen in the U.S elections. Should Clinton remain out in the clear then we may see further Australian Dollar strength however you must be aware that if we do suddenly start to see Trump charge ahead then perceived ‘riskier’ currencies such as the Australian Dollar will be likely to weaken… As investors and speculators will be fairly likely to panic if Trump does start to look like he may win.

We have U.K growth figures out on Friday morning which will be the main driver for GBP/AUD exchange rates towards the end of this week but asides from that the key focus will be changes in commodity prices, news from China, U.S election and general risk appetite.

If you are looking to buy or sell Australian Dollars and you would like to achieve the very best rate of exchange for your transfers then it is well worth getting in contact with us directly. We can generally better any other brokerage out there and we like to think our customer service is much better too. Feel free to get in contact with me (Daniel Wright) by emailing me directly on djw@currencies.co.uk with a brief overview of what you need to do and I will be more than happy to contact you personally to discuss the options available to you.

Brexit worries and risk adverse attitudes keep GBP/AUD below 1.70, will the Pound continue to decline? (Joseph Wright)

The Pound to Australian Dollar exchange rate has remained below the 1.70 mark once again today, as Brexit concerns continue to weigh on the Pounds value.

Markets have been quiet today anyway as many wait in anticipation for this evenings first US Presidential debate which is bound to be a talking point tomorrow and I wouldn’t rule out it’s effects within foreign exchange markets.

As markets await this evening there has been a lack of risk appetite and risk taking within markets as daily trading ranges are thin, and commodity currencies such as the Aussie Dollar have weakened off slightly.

Today’s slight weakening of the Aussie Dollar is in contrast with last week, as the Aussie Dollar quietly gained throughout the week and ended up being one of the weeks best performers. Attention was off the currency last week as a number of other major economies were under the spotlight as the US Fed, Bank of Japan and RBNZ all made interest rate decisions, and whilst this was going on AUD quietly outperformed which is why we are looking at a mid-market level below 1.70.

There is a lot of downward pressure on the Pound at the moment as negative sentiment surrounds the UK economy.

If you want to be kept up to date on the markets and you would also like to ensure that you are getting the very top levels of exchange for an imminent currency transfer or even a longer term one then I can help you with this.

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 broker or bank for a long time I would be surprised if I could not show you a saving over what they are offering you – You can email me (Joseph Wright) directly on jxw@currencies.co.uk and I will be more than happy to contact you personally to discuss the various options we have available to you.

GBP/AUD exchange rate likely to be driven by US FED’s tone later today (Joseph Wright)

The GBP/AUD pair have remained range-bound for some time now, although there does appear to be a bias towards the downside as we’re seeing the Pound weaken on almost a daily basis at the moment.

With the Reserve Bank of Australia beginning to adopt a more bullish attitude the probability of another interest rate cut from them again this year has dropped down to 30% according to major bank Danske Bank. This coupled with the Bank of England’s likelihood of cutting rates once again in the UK is why I feel there is potential for further falls for GBP/AUD.

Aside from the UK’s and Australia’s own monetary policy plans, the GBP/AUD exchange rate’s direction is currently also being influenced by the US Fed Reserve Banks monetary policy plans.

It’s likely that when interest rates are increased in the US, the Pound will gain on the Aussie as at the moment the Australian Dollar has been benefiting as many investors worldwide wish to hold funds in AUD due to the high interest rates offered by Aussie banks.

Once rates increase in the US I’m expecting the Pound to gain value on the AUD, as deposits will likely switch from AUD to USD which will weaken the Aussie.

If you want to be kept up to date on the markets and you would also like to ensure that you are getting the very top levels of exchange for an imminent currency transfer or even a longer term one then I can help you with this.

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 broker or bank for a long time I would be surprised if I could not show you a saving over what they are offering you – You can email me (Joseph Wright) directly on jxw@currencies.co.uk and I will be more than happy to contact you personally to discuss the various options we have available to you.

The Pound loses further ground against the Aussie Dollar, with further falls a possibility (Joseph Wright)

The GBP/AUD exchange rate has dropped back below the 1.7500 mark today we’ve seen the Pound sold off across the board.

After hitting it’s best levels for some time just yesterday we’ve seen quite a steep sell-off during today’s trading session, and this has been triggered by what I would imagine to be profit taking as is quite usual on a Friday afternoon within the UK. There hasn’t been any UK specific data released to prompt today’s sell-off so I’d imagine that profit taking is behind it.

As a currency broker for one of the UK’s largest specialist currency brokers I have felt a decline in positive sentiment towards the Pound over the past week or so, as the hard data out of the UK hasn’t fallen in line with the recent business surveys (Purchasing Managers Index surveys), in the sense that the surveys were particularity bullish whereas the hard data released has disappointed and this has been reflected within currency markets as we’re seeing the Pound fall against a basket of major currencies after rising off the back of the surveys.

The Aussie Dollar has been under some pressure of its own as like with the Canadian and New Zealand Dollar, the commodity currencies price movement will be determined by whether the US raise Interest Rates. If rates increase in the US I along with many economists am expecting a fall in the Aussie Dollar, so Aussie Dollar sellers should be aware of this relationship between the two.

If you want to be kept up to date on the markets and you would also like to ensure that you are getting the very top levels of exchange for an imminent currency transfer or even a longer term one then I can help you with this.

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 broker or bank for a long time I would be surprised if I could not show you a saving over what they are offering you – You can email me (Joseph Wright) directly on jxw@currencies.co.uk and I will be more than happy to contact you personally to discuss the various options we have available to you.