Tag Archives: Tom Holian

Could the Pound improve against the Australian Dollar this month and possible reasons why? (Tom Holian)

The Pound has been steadily increasing against the Australian Dollar since the turn of the year and although we have seen some small losses for the Pound, generally speaking the market for anyone looking to buy Australian Dollars has been very positive.

With the US threatening to continue raising interest rates the next interest rate hike by the Fed is likely to come in March and this is in part why we have seen the Australian Dollar struggle against the Pound.

On Tuesday the latest set of minutes are due to be released by the Reserve Bank of Australia and I think this could provide the catalyst for Sterling strength against the Australian Dollar as I think the RBA will be relatively cautious in their tone.

If you look at the markets through the eyes of a global investors if you have available funds it is likely that you would look to invest in the US as with interest rates planned to be going up as well as strong growth in the world’s leading economy this could potentially be a good investment.

This could result in a sell off for riskier based currencies such as the AUD and this is why I think in the longer term that we’ll see GBPAUD exchange rates challenge 1.80 before the end of this month.

On Tuesday the UK releases the latest Quarterly Inflation Report Hearings and as inflation has continued to remain higher than the target I think this will put pressure on the Bank of England to look at raising interest rates possibly as early as May.

On Wednesday the latest UK unemployment data is due to be published and although this has been very strong one of the concerns is Average Earnings which have been lagging behind inflation so this could see a bit of volatility for GBPAUD exchange rates in the middle of the week.

If you would like to free quote when buying or selling Australian Dollars and would like to save money on exchange rates compared to using your own bank then contact me directly. Having worked in the foreign exchange industry for one of the UK’s leading currency brokers since 2003 I am confident of being able to save you money and help you with the timing of your transfer.

Feel free to email me directly with a brief description of your requirement and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

 

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 

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.

 

Interest Rates in the UK and Australia to set the tone for GBPAUD exchange rates – Could we see GBPAUD rates move towards 1.80? (Tom Holian)

According to the Reserve Bank of Australia interest rates down under may be kept on hold for quite some time. In their most recent statement earlier this week the central bank has suggested that any change will be ‘gradual.’

The latest set of growth forecasts from the RBA will be announced on Friday and although unemployment is looking very strong in Australia there are concerns being raised that Retail Sales are struggling.

Indeed, the RBA governor Philip Lowe has said that ‘household incomes are growing slowly and debt levels are high’, which leads me to think the RBA will keep monetary policy the same until we see more positive news.

The last time we saw an interest rate hike in Australia was back in 2010 and rates have remained on hold down under now for a year and a half so don’t expect any rate changes to be coming anytime soon.

The problem for the economy in Australia is that over the years it has benefited from a higher yield in interest rates for global investors than many other developed economies.

However, with the US having increased interest rates three times during 2017 and on course to increase interest rates again in March this is leading investors to move their money away from commodity based currencies including the Australian Dollar and into the US Dollar.

Overall this is fairly good news for anyone looking to send money to Australia as it means GBPAUD exchange rates have remained positive recently and although we have seen the odd drop in rates, generally speaking the direction has been positive in Sterling’s favour.

Looking ahead to tomorrow the Bank of England are set to meet to announce their latest monetary policy decision and although no change is expected any hints of a rate hike coming further down the line to control inflation could see the Pound go in an upwards direction.

If you have a need 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. You can email me (Tom Holian) on teh@currencies.co.uk and I will respond to you as soon as I can.

Pound rises against the Australian Dollar after lower than expected Australian Inflation Data (Tom Holian)

The Pound has once again charged in an upwards direction vs the Australian Dollar breaking past 1.78 overnight.

Australian Inflation data for the final quarter of last year came out lower than expected and although the figure rose to 1.9% it came in below expected figure of 2%.

This means that the likelihood of the Reserve Bank of Australia raising interest rates at any point in the near future is severely reduced and this is why we have seen the Australian Dollar weaken against Sterling.

The CPI report also showed huge inconsistencies across the country with the cities in the east all above 2% but with Perth in the west showing a level of just 0.8% highlighting the disparity between the regions which makes things more difficult for the RBA to manage the economy effectively.

The same report also highlighted differences in the housing market from one region to another and this is why the Australia Dollar has weakened as confidence is likely to also fall down under which is good news for anyone looking to buy Australian Dollars with Sterling at the moment.

Chinese data has also been rather mixed recently and as China is the largest trading partner with Australia any lower than expected news can often have a negative impact on the value of the Australian Dollar.

We end the week with the latest Producer Price Index data from Australia and anything different could influence the rate to convert Australian Dollars so make sure you’re well prepared.

If you have a currency transfer to make and would like to save money when buying or selling Australian Dollars compared to using your own bank then feel free to contact me directly for a free quote and I look forward to hearing from you.

Having worked for one of the UK’s leading currency brokers for 15 years I am confident of being able to help you.

Email me directly Tom Holian teh@currencies.co.uk

 

 

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.

 

Pound hits best rate to buy Australian Dollars since early December (Tom Holian)

The Pound is now trading at its best rate to buy Australian Dollars in over a month as Sterling continues to improve against a whole host of currencies during the course of this week.

Sterling has hit pre-referendum highs against the US Dollar and is now trading at its best level to buy Euros in over nine months.

UK unemployment levels hit their best levels in over 40 years and are at their lowest levels since records began and this is one of the reasons for Sterling’s strength against the Australian Dollar.

There are still concerns that inflation is too high for the UK but Average Earnings also came out better than expected yesterday and this has also helped to increase the Pound’s value.

The two announcements yesterday were clearly very positive but tomorrow we have the latest GDP estimate for the UK and this could potentially put paid to Sterling’s recent rally against the Australian Dollar.

The over-riding factor for Sterling’s increase is that things are looking more positive concerning the topic of Brexit.

Both finance ministers from Spain and the Netherlands have suggested that they want to remain as close as possible to the UK in terms of ongoing trade and the overall tone looks to be one of togetherness rather than a ‘them and us’ situation.

Indeed, the Pound has increased by as much as 3% against the Australian Dollar in the last 4 weeks which is the difference of £3,400 on a currency transfer of AUD$200,000.

If you have a need to make a currency transfer in the near future when transferring Australian Dollars 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.

 

Pound maintains its levels against the Australian Dollar after low Retail Sales (Tom Holian)

The Pound has continued to hold on against the Australian Dollar even after some alarmingly low UK Retail Sales data was published on Friday morning.

Retail Sales especially in December are an extremely important indicator of the UK economy as December is when shops try and make their most money.

With the data for December coming out at 1.4% compared to the expectation of 3% the data typically would have seen a much bigger fall in the value of Sterling. However, this highlights that investors seem to be quite happy holding the Pound at the moment.

The US Dollar has weakened to pre-Brexit levels against the Pound and Sterling has held steady against a number of currencies including vs the Australian Dollar which is good news for anyone looking to send money down under.

Indeed, China’s economy also showed signs of growth which again would typically strengthen the Aussie Dollar as China is Australia’s largest trading partner.

However, some sources have suggested that the figures are not entirely accurate as previous economic figures for the year before were inaccurate and overstated.

As we move into next week one of the most crucial days of the week will come on Wednesday when the UK releases the latest set of both Unemployment data as well as Average Earnings.

The jobs market in the UK has been going very well recently hitting the best levels in decades whilst average earnings have been struggling to stay in line with inflation so if you’re in the process of moving Australian Dollars then keep a close eye out on the data release on Wednesday.

If you have a need to make a currency transfer in the coming days, weeks or months 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.

Sterling hits 2 week high vs the Australian Dollar (Tom Holian)

The Pound has hit its best rate to buy Australian Dollars in two weeks after Sterling looks to be starting a fightback against a number of different currencies.

Australian economic data overnight was relatively mixed with the Unemployment rate moving up from 5.4% to 5.5% but the participation rate for December also rose so it appears as though they cancelled out each other.

Also, overnight the Chinese released GDP figures which rose but Retail Sales for December fell. As China is Australia’s biggest trading partner this can often have an impact on Australian Dollar exchange rates but as the data was also mixed this is the reason why we saw little impact on the value of GBPAUD exchange rates.

I think at this time tomorrow we could see further movement on exchange rates when UK Retail Sales are released for December. This will make for very interesting reading as the data will include the festive period and will give us an insight into how the UK economy is performing at the moment.

There have been rumours circulating that the Bank of England are potentially planning for an interest rate hike towards the end of the year. This could be an answer to inflation which is still way above the target at the moment as 3% and another reason for Sterling’s recent gains.

The GBPAUD exchange rate is still close to its recent highs so if you’re considering transferring Australian Dollars it may be worth taking advantage of this short term spike.

If you have a currency transfer to make and would like a free quote compared to using your own bank or simply want to compare rates to buy or sell Australian Dollars against your current foreign exchange provider then feel free to get in touch for a free quote. Having worked for one of the UK’s leading currency brokers since 2003 I am confident of being able to help save you money on exchange rates.

Email me directly and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

 

The Pound rallies against commodity based currencies and increases in value against the Australian Dollar (Tom Holian)

The Pound has seen some big gains vs the Australian Dollar on Friday afternoon following the announcement that US inflation data came out lower than expected.

We have seen all the commodity based currencies weaken against the Pound and this is good news for anyone looking to buy Australian Dollars with Sterling.

We also saw lower than expected Chinese Import data and as China is the largest trading partner with Australia this has caused the Aussie Dollar to weaken against the Pound.

The reason why US inflation data is so important to the foreign exchange market is that as the US is the world’s leading economy any slowdown in inflation could mean less appetite for an interest rate hike in the US but more importantly this could show a bit of a global slowdown.

If you combine US inflation with lower than expected US Retail Sales this also has had a negative effect for commodity based currencies.

Therefore, the demand for currencies affected by the value of their raw materials and commodities have weakened. Indeed, the rate to buy Australian Dollars has hit 1.74 which is the highest rate since mid December.

The ongoing uncertainty of how the Brexit talks will go are likely to keep the Pound under so personally I think this positive movement could be relatively short lived so if you’re thinking of buying Australian Dollars it may be worth taking advantage of these current levels.

If you have a currency transfer to make and would like a free quote compared to using your own bank or simply want to compare rates to buy or sell Australian Dollars against your current foreign exchange provider then feel free to get in touch for a free quote. Having worked for one of the UK’s leading currency brokers since 2003 I am confident of being able to help save you money on exchange rates.

Email me directly and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk