Tag Archives: Tom Holian

Will the Pound continue to improve against the Australian Dollar?

Sterling is now trading close to its best level against the Australian Dollar in almost two years as the Australian economy continues to shows signs of a struggle.

Australian inflation data is released on Tuesday and this could provide us with evidence of what the RBA may need to do in terms of monetary policy in the near future.

The RBA is under pressure at the moment as it appears as though the country is split between the east and the west with the western economy showing signs of a real slowdown compared to what is happening in both Sydney and Melbourne.

With the western part of the country so entrenched in the mining industry any slowdown in China will often cause the Australian Dollar to weaken and this is in part one of the reasons for the recent period of Australian Dollar weakness.

The Australian Dollar has also been affected by the decision made in the US to continue in their course of raising interest rates. In previous years Australia has had one of the highest interest rate yields available in the developed world.

However, the US has now overtaken them and this has caused global investors to move their money away from Australia and this has seen Sterling break past 1.83 during the course of this week providing some excellent opportunities to send money down under.

With the Bank of England due to meet on 10th May I think there is a strong chance of a rate hike coming in the UK as well and this could see further strength for the Pound vs the Australian Dollar. Therefore, if you’re considering selling Australian Dollars to buy Pounds it may be worth getting things organised in the near future.

For further information about how to save money when exchanging Australian Dollars and if you’d like to save money compared to using your own bank then contact me directly for a free quote and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

Could the Pound continue its recent strong run vs the Australian Dollar?

Although the Pound dipped yesterday vs the Australian Dollar after UK inflation came out slightly lower than expected the Pound has risen once against vs the AUD during today’s trading session.

UK inflation is a key factor in determining when the Bank of England may look at raising interest rates and the chances are very high that a rate hike may occur when the central bank meet again on 10th May.

Indeed, according to some reports the chances are as high as 85% of an interest rate hike.

The Pound has made a lot of gains vs the Australian Dollar over the last few months and although we saw a brief fall earlier this week I think the negative movement will be relatively short lived.

With the US having increased rates recently the US interest rates now have a higher yield than having money in Australia and this is one of the reasons why the Australian Dollar has weakened recently particularly vs the Pound.

On Tuesday, Australia releases its latest inflation data and with the RBA having announced recently that interest rates are likely to remain on hold for the foreseeable future the data release could cause a lot of movement for GBPAUD exchange rates.

On Wednesday Australia celebrates ANZAC day so expect the markets to remain quite midweek so if you’re happy with rates are on Wednesday that may be the day to make your move.

If you would like more information about buying or selling Australian Dollars and would like to save money on exchange rates compared to using your own bank then contact me directly and I look forward to hearing from you.

Having worked in the foreign exchange industry since 2003 I am confident of being able to save you money so feel free to send me an email directly with an outline of your particular requirement.

Tom Holian teh@currencies.co.uk

 

 

Australian Dollar on the ropes vs the Pound during March. – is there further weakness ahead in April? (Tom Holian)

The Pound has had one of its best months in recent times against the Australian Dollar hitting the best rate to buy Australian Dollars with Pounds since June 2016 when the EU referendum was announced.

The Australian Dollar has been struggling with an imbalance between the western part of the country where the mining industry appears to be slowing down whilst the east coast cities seem to be performing better.

The issue for the Reserve Bank of Australia is how they will be able to manage monetary policy going forward. The RBA is due to meet next Tuesday and I think the tone will be very dovish and any talk of a rate hike will be a long time coming.

Inflation has been struggling and the economy is showing signs of a slowdown in Australia and this is another reason for the weakness of the Australian Dollar with GBPAUD rates hitting 1.85 earlier on this week.

America now has a higher interest rate than Australia and this has meant global investors has begun to bypass the previously attractive yield available down under in favour of placing money in the US.

The trade wars between the US and China have caused big problems for the Aussie Dollar and I think there could be worse to come with this particular topic as Trump has already been rather vocal about putting America first.

Meanwhile the economic data from the UK has been improving and only recently the Bank of England announced a 7-2 vote in favour of keeping interest rates on hold which suggests a rate hike may be coming fairly soon with odds relatively high of a rate hike coming in May.

On Wednesday Australia announces the latest Retail Sales data and I think this could come out lower than expected putting further pressure on the Australian Dollar vs the Pound.

Therefore, if you’re in the process of buying Australian Dollars it may be worth holding on until later on next week.

However, if you’re selling Australian Dollars it may be worth organising this very soon.

If you would like further information about how to save money on exchange rates or you would like a free quote then email me directly with your requirements and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

Pound continues to make gains vs the Australian Dollar (Tom Holian)

I have been predicting in my last few articles that the Pound would break through 1.80 during the course of this month and continue to rise against the Australian Dollar which has shown signs of a real struggle during March.

We are now at the highest level to buy Australian Dollars with Pounds since the the referendum during June 2016 which saw the Pound collapse against the Australian Dollar after the British public voted to leave the European Union.

Although the Pound has been supported by better news on the Brexit front including an agreement on the transitional deal it appears to me is that it is more likely to be overall weakness for the Australian Dollar which has seen GBPAUD exchange rates move to these recent highs creating some excellent opportunities to buy Australian Dollars with Pounds.

There are a number of reasons why the AUD has weakened but mainly due to what is happening in the US during the course of this month. At the moment the Trump administration has put in place a number of different tariffs on Chinese goods coming into the US and as China is Australia’s largest trading partner any problems will often result in Australian Dollar weakness. If the trade wars ramp up this could cause further problems for the Australian Dollar so if your’e considering buying Pounds it may be worth organising this in the near future.

The stock market down under has also fallen since the start of the week as the US is also proposing a crackdown in Chinese investment in tech firms in the US.

With the Reserve Bank of Australia due to meet early next week I think the tone will suggest that any interest rate hikes may be a long time coming so this could provide a further boost for GBPAUD exchange rates.

Having worked in the foreign exchange industry since 2003 with my experience I am confident of being able to offer you both bank beating exchange rates and also help you with the timing of your transfer of currency.

If you would like further information or a free quote then contact me directly and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

 

Best rate to buy Australian Dollars since June 2016 (Tom Holian)

The Pound has risen close to EU referendum highs this week against the Australian Dollar after news that a transitional deal has been confirmed.

This has given Sterling a boost against a number of major currencies and with the EU summit due to take place if the talks go well this could see GBPAUD exchange rates continue to rise.

The Australian Dollar has also struggled in recent weeks as the chances are that we will see a number of interest rate hikes in the US during the course of this year and tonight the US Federal Reserve are due to increase interest rates, which will take them higher that in Australia.

In recent years global investors have moved money into Australia owing to the higher yield but as the US economy is improving and a series of rate hike plans are planned this has caused the Australian Dollar to weaken.

In a number of my previous articles I wrote that I thought we would see Sterling break past 1.80 during the course of this month and this has all been proved right.

The minutes from the recent Reserve Bank of Australia meeting suggested that the chances of an interest rate hike down under are very low and this in my mind has caused investors to sell the Australian Dollar in favour of the US Dollar, which has pushed GBPAUD rates in an upwards direction.

Australian unemployment figures are due overnight as well as Australian employment change data and this could cause a lot of movement overnight so make sure you keep a close eye out on what happens with this data release.

Arguably the most important event for GBPAUD rates will be the EU summit which starts tomorrow so expect a lot of volatility in the days ahead.

If you would like further information about what is happening with the Australian Dollar as well as a free quote then contact me directly and I look forward to hearing from you. The more information you provide me about your particular transfer means I can provide you with a more detailed answer.

To Holian teh@currencies.co.uk

Pound hits referendum high to buy Australian Dollars (Tom Holian)

As predicted in a number of my previous articles covering the Pound vs the Australian Dollar I did say that I thought we could see GBPAUD rates break through 1.80 this month.

During Friday’s trading session my prediction came true after the one of the RBA members Debelle suggested that Australian interest rates are likely to be kept on hold for quite some time to come.

This saw GBPAUD rates move past 1.80 creating some excellent opportunities to buy Australian Dollars with Sterling.

Indeed, the Pound had a good week against most of its counterparts in anticipation of a lot of movement during the course of next week.

On Tuesday the UK releases its latest inflation figures for year on year with the latest Consumer Price Index for February.

Inflation is currently at 2.9% which is a long way above the target of 2% so another high reading could provide support for another interest rate hike in the UK.

Indeed, interest rates were raised towards the end of 2017 following a long run of high inflation so on Tuesday this could provide further justification of another rate hike currently 75% priced in for May.

On Wednesday UK unemployment figures are due to be published which are close to the lowest since records began over 40 years ago. However, one issue is that of Average Earnings which will be announced at the same time as the jobs data. Wages are struggling to keep up with inflation so this could see a potential banana skin for the Pound.

On Thursday the Bank of England will announce their latest monetary policy and although there is almost no chance of a rate hike if there are any suggestions of this coming in the near future I expect Sterling to rise in the value against the Australian Dollar.

However, arguably the biggest impact for anyone with an Australian Dollar requirement will come on Thursday when the EU Summit takes place. At the moment the future of the UK’s relationship with the European Union is very uncertain and uncertainty often results in heightened volatility.

Therefore, if you’re concerned about what may happen it may be worth getting things organised prior to Thursday.

If you would like further information about how to save money when buying or selling Australian Dollars and would like a free quote then contact me directly and I look forward to hearing from you.

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

 

Pound Australian Dollar Rates and could we see 1.80? (Tom Holian)

As predicted in my recent article over the weekend I think we could see GBPAUD exchange rates challenge 1.80 during the course of this month as Sterling has made some steady gains vs the Australian Dollar in recent weeks.

In the Spring Statement delivered by Chancellor Philip Hammond he was relativity positive about the the British economy and has predicted falling inflation, less borrowing and has also upgraded projections for UK growth.

This has been taken by the market very well and this has seen Sterling increase vs the Australian Dollar during this afternoon hitting 1.7750 at the time of writing.

Good news if you’re considering buying Australian Dollars with Sterling at the moment.

The Chancellor has forecast that growth this year would hit 1.5% which is just above the target set by the Office for Budget Responsibility back in November.

Turning the focus back towards what is happening with the Australian economy at the moment tonight we see the latest release for the Westpac Consumer Confidence survey.

This has been falling recently so another pessimistic release could pile further pressure on the Australian Dollar.

Combine this with tonight’s Chinese Retail Sales data as well as Chinese Industrial Production data this could cause a lot of movement for GBPAUD exchange rates so make sure you’re prepared for a lot of movement early tomorrow morning.

Things seem to be slowly improving for the British economy and today’s Spring Statement has also supported this view which is why I think we could see the Pound hit 1.80 vs the Australian Dollar before the end of this month.

If you are in the process of either buying or selling Australian Dollar at the moment and would like further information or a free quote then contact e directly 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 offer you better exchange rates as well as helping you with the timing of your transfer.

Email me directly with a brief explanation of your requirement and I look forward to hearing from you

Tom Holian teh@currencies.co.uk

 

Pound Australian Dollar rates and could we see 1.80 this month? (Tom Holian)

The Pound has improved against the Australian Dollar during the course of this month and although we have seen some small drops recently GBPAUD exchange rates are close to the highest they have been in a very long time which is good news for anyone looking to buy Australian Dollars with Pounds.

Even though Sterling has remained under a lot of pressure against both the Euro and the US Dollar, Sterling has had a very strong run against both the New Zealand Dollar as well as the Australian Dollar.

In fact Australian GDP data showed a fall earlier this week which cause further Australian Dollar weakness with GBPAUD rates breaking as high as 1.79 on the Interbank level at one point.

With Donald Trump suggesting that he will be looking to increase tariffs on both steel and aluminium if he goes through with his plans this could cause a problem for the mining industry in Western Australia and therefore a longer term problem for the Australian dollar vs the Pound.

The US are now less than a fortnight away from the next Federal Reserve meeting and it is almost certain that they will be raising interest rates and this will be the first time that US interest rates will be higher than that available down under.

Therefore, I think later this month this could be the catalyst to send GBPAUD exchange rates towards 1.80.

On Monday Australia will be celebrating Labour Day so AUD exchange rates could remain quiet until later in the week when Chinese Retail Sales data as well as Industrial production data is announced.

China is such a large trading partner with Australia so this could cause a lot of movement for Australian Dollar towards the middle of this week.

For further information about what is happening with Australian Dollar exchange rates at the moment and if you need to make currency transfer then contact me directly for a free quote and I look forward to hearing form you.

Having worked for one of the UK’s leading currency brokers since 2003 I am confident of being able to offer you bank beating exchange rates as well as helping you with the timing of your transfer.

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

Will the Pound continue to increase against the Australian Dollar this month? (Tom Holian)

The Pound has hit close to a 30 day high vs the Australian Dollar creating some very good opportunities to buy Australian Dollars recently. The Australian Dollar has come under a lot of pressure recently as global investors appear to be shying away from the AUD in favour of increasing yields elsewhere.

The minutes from the latest meeting in the US have all but guaranteed an interest rate hike in March and since then the Australian Dollar has weakened.

Indeed, the Bank of England are also considering increasing interest rates by as early as May according to some sources as inflation continues to remain above the target of 2%.

With the interest rates in Australia not as favourable as they were in previous years and with other nations looking at raising rates this is why we’re heading towards 1.80 for GBPAUD exchange rates.

A recent statement by RBA governor Philip Lowe suggested that the central bank are unlikely to be looking at raising rates until some point next year as Australia is struggling with low inflation. There appears to be a bit of a two tier economy as the western part of the country has much lower inflation than in the east and this is causing a headache for the RBA about how to control inflation concerns with monetary policy.

Wednesday could be a volatile day for Sterling vs the Australian Dollar with the latest release of Chinese manufacturing data. As China is such a large trading partner with Australia this can often have a big impact on the value of the Australian Dollar depending on how the data comes out.

If you’re in the process of buying or selling Australian Dollars and would like to save money on exchange rates compared to using your own bank then contact me direclty for further information and a free quote. Having worked 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.

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

Tom Holian teh@currencies.co.uk

Pound gains vs the Australian Dollar after uncertain RBA minutes (Tom Holian)

The RBA minutes came out last night and they stated that they are concerned about wage growth after years of easy monetary policy settings allowing people to borrow money cheaply.

Australian households are currently experiencing a huge amount of debt and they are concerned especially about home owners with interest-only mortgages.

The central bank assistant governor Michel Bullock said that the risks to the current levels of debt are ‘not particularly acute’.

However, clearly there is a big concern as if interest rates are allowed to rise and wage growth doesn’t increase this could cause a big problem for homeowners with interest only mortgages. The RBA are currently keeping close tabs on the economy  and as mortgage debt is high and property prices appear to be slowing down then I think the RBA will keep interest rates on hold for quite some time to come.

This could, in the longer term, cause the Australian dollar to weaken as other economies including both the US and the UK are preparing to increase interest rates during the course of this year. The US have penciled in a rate hike for March with almost a 100% certainty of this happening whilst the UK may hike rates in May with a 75% of this happening.

This week the UK has a number of important data releases due out including GDP figures for the final quarter of 2017 tomorrow morning. Expectations are for growth of 1.5% year on year so anything different is likely to cause a lot of movement for GBPAUD exchange rates so make sure you keep a close eye out on what happens over the next few days.

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