Tag Archives: Tom Holian

Where next for the Pound vs Australian Dollar? (Tom Holian)

The Pound vs the Australian Dollar has marginally crept up overnight after the Reserve Bank of Australia suggested that the construction sector down under is beginning to show signs of a slowdown. If this carries on it could result in a lot of job losses going forward which is likely to be detrimental to the Australian economy.

According to a report from BIS Oxford economics they have also forecast as fall of 31% in the number of new properties being built over the next three years and this could be the biggest drop in almost twenty years for the sector.

Australian household debt has also seen an increase to as much as 190% of household income which is clearly far too high.

This is a big concern for the RBA who have a difficult decision concerning interest rates and which direction they will move them in.

It could be argued that an interest rate hike is necessary to cool the already over-heated property market but with household debt rising an interest rate hike could cause big problems for the economy.

Therefore, the RBA have been rather cautious recently with monetary policy and have used the practice of ‘jawboning’ which is essentially suggesting something may happen without actually doing anything.

Overnight tonight Australian unemployment data is due out with the expectation for 5.6% so anything different could result in volatility for Sterling vs the Australian Dollar.

If you have a 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 (Tom Holian) on teh@currencies.co.uk and I will endeavour to get back to you as soon as I can.

Will the Pound fall this month against the Australian Dollar? (Tom Holian)

We have seen a relatively stable period this month for GBPAUD exchange rates but could this change going into next month?

At the moment the markets have been quiet whilst many political leaders take their summer break but when things get started in September it is likely that the Brexit negotiations will once again begin to dominate the headlines.

When the snap general election was called back in Easter Sterling vs the Australian Dollar was trading above 1.70 but since then we have experienced both a hung parliament as well as the beginning of the Brexit talks.

Both have caused big falls in Sterling against all major currencices including against the Australian Dollar.

Growth forecasts for the UK have been downgraded both for this year and next year and this week’s Trade Balance figures for the UK have showed a huge fall in investment by businesses who are stalling their projects owing to the uncertainty as to what may happen with Brexit.

Longer term I expect the Pound to struggle and although in the short term I expect to see some small periods of gains I think they will be limited.

Therefore, if you’re considering sending money to Australia it may be worth doing it during this month.

If you have a currency exchange to make whether it be buying or selling Australian Dollars and want to save money on exchange rates compared to using your own bank then feel free to make contact with me directly via email.

Having worked in the foreign exchange industry since 2003 for one of the UK’s leading currency brokers I am confident of being able to offer you both better rates as well as keeping you updated with various market movements.

For a free quote email me directly Tom Holian teh@currencies.co.uk

What is happening to the Australian Dollar and the Pound? (Tom Holian)

The Pound began to fall after Thursday’s Bank of England interest rate decision which saw the vote split 6-2 in favour of keeping rates on hold.

In June the split was 5-3 but as Kristin Forbes has left since the last decision the incoming MPC member Silvana Tenreyo decided not to rock the boat so rates were kept on hold.

This immediately saw the Pound fall against the Australian Dollar and the movement was exacerbated with Mark Carney’s comments which followed. He highlighted the risks that the UK economy is facing caused by the uncertainty of the Brexit vote and it appears as though the UK economy is started to be affected.

Indeed, the growth forecast for the UK was downgraded from 1.9% to 1.7% for 2017 and down from 1.7% to 1.6% for 2018.

After some small gains for the Pound vs the Australian Dollar at the start of last week the problems in my opinion are now likely to continue.

On Tuesday the latest NIESR GDP estimate is due out for the UK.

Although these figures are not the official ones they are usually very accurate and are the most up to date so if the figures highlight a slowdown this is likely to see the Pound fall vs the Australian Dollar.

If you have a 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 (Tom Holian) on teh@currencies.co.uk and I will endeavour to get back to you as soon as I can.

Could the Pound fall further against the Australian Dollar? (Tom Holian)

The Pound has been really struggling to make gains vs the Australian Dollar over the last few weeks and since the election when GBPAUD exchange rates were close to 1.70 we have seen a huge drop in the value of Sterling exchange rates.

The Pound is finding it hard against all major currencies recently and the Pound has dropped by over 6% against the Australian Dollar in the last 2 months which is the difference of £6,000 on a transfer of £100,000 highlighting the importance of following the currency market or at least letting a currency broker do that for you.

Economic data in the UK has started to show signs of a slowdown as investor confidence in the UK economy as well as Sterling has started to fall.

UK GDP published on Wednesday showed a fall to 1.7% for the second quarter. This was in line with the expectation but the real problem is that the Brexit fears are slowly started to become realised.

The US and Chinese economy continue to post strong results which in turn in helping the strength of the Australian Dollar vs the Pound.

With the RBA unsure when to raise interest rates the meeting on Thursday by the Bank of England could be crucial as to the short term trend for GBPAUD exchange rates.

The likelihood is that we’ll see a change in the vote from last month which showed 5-3 in favour of a rate hike. If we see a fall in the appetite then I think this will send the Pound lower vs the Australian Dollar so keep a close eye out on the announcement later in the week.

 

If you have a 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 (Tom Holian) on teh@currencies.co.uk and I will endeavour to get back to you as soon as I can.

What will happen to the Pound vs the Australian Dollar this week? (Tom Holian)

Over the last two months the Australian Dollar has strengthened against the Pound by as much as 7% or the difference of £10,000 on a currency transfer of AUD$200,000 making a big difference as to when to move to or from Australia.

However, overnight we have seen some small gains for the Pound vs the Australian Dollar when RBA governor Philip Lowe suggested that any interest rate hikes may be some time off.

This led to the Pound briefly hitting 1.65 vs the Australian Dollar providing some brief respite to anyone looking to send money to Australia.

Today’s UK GDP data came out exactly as expected for the second quarter so this did little to affect GBPAUD exchange rates so the next catalyst for movement could come overnight with the release of the latest interest rate decision for the US when the Federal Reserve meets to decide its latest monetary policy.

I still think if there are any gains for the Pound vs the Australian Dollar they will be limited as the Pound continues to struggle owing to the Brexit uncertainty and that is unlikely to go away in the near future.

If you have a 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 (Tom Holian) on teh@currencies.co.uk and I will endeavour to get back to you as soon as I can.

 

Could the Aussie make further gains vs the Pound? (Tom Holian)

The Australian Dollar has gone from strength to strength recently vs the Pound as the economic and political uncertainty caused by the Brexit continues to put the Pound under pressure.

Next week there are a number of data releases that could have a big impact on GBPAUD exchange rates. The biggest day of the week will come on Wednesday when the Reserve Bank of Australia publishes Australian inflation data.

Inflation is a key factor in a central bank’s decision when it comes to moving interest rates so this could be a big influence as to what direction the RBA moves in when it comes to moving interest rates in the future.

After inflation data the UK releases second quarter GDP data. This will cover the period of the general election as well as when the Brexit talks were officially started so I think this data will be lower than the expectation of 1.7% year on year which in my opinion could lead to the Pound falling against the Australian Dollar.

We end the day with arguably one of the biggest events of the month when the US Federal Reserve publish their latest interest rate decision. The US economy has been very strong recently and typically when the US performs well this encourages global investors to increase their attitude to risk.

The value of the Australian Dollar is often improved when the data is positive in the US so we could see a very positive day for the Australian Dollar vs the Pound during Wednesday so make sure you’re prepared if you want to take advantage of the movements for GBPAUD exchange rates.

I work for one of the UK’s longest established currency brokers and I’m able to offer you bank beating exchange rates so if you would like further information or a free quote when buying or selling Australian Dollars then contact me directly and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

 

Could the Pound fall even further against the Australian Dollar? (Tom Holian)

Sterling has continued to struggle vs the Australian Dollar this week after the comments made by the Reserve Bank of Australia which suggested that an interest rate hike may be coming sooner than some may expect.

Growth figures in China which is the world’s second largest economy and the largest trading partner with Australia have also been very good this week which has in turn led to Australian Dollar strength vs the Pound sending exchange rates below 1.64 for the first time in many weeks.

We have the release of Australian Unemployment data due out overnight and in my opinion any further good news down under could send the Pound vs Australian Dollar rates down even further.

My next expectation for rates is towards 1.60 rather than 1.70 so if you’re thinking about selling Australian Dollars soon then keep a close eye out for what happens to the GBPAUD rate tomorrow.

Tomorrow morning also brings with it UK Retail Sales which owing to the uncertainty caused by Brexit could see a lower than expected figure and if this happens I expect further Australian Dollar strength vs the Pound.

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 (Tom Holian) on teh@currencies.co.uk and I will endeavour to get back to you as soon as I can.

 

Rate to buy Australian Dollars with Pound rises (Tom Holian)

The rates to buy Australian Dollars with Sterling has increased during Friday’s trading session after the US inflation data came out lower than expected.

It has already been an interesting week for GBPAUD exchange rates with interest rates having been a key topic in the UK, US and next week in Australia.

The Aussie Dollar is heavily affected by what happens in the US as it will influence global attitude to risk.

With the US posting lower than expected inflation levels this could suggest that an interest rate hike in the US may not be coming as soon as many expect and this has caused a sell off for the US Dollar in favour of the Pound which in turn has caused the Pound to rise against the Australian Dollar.

Next week on Tuesday the Reserve Bank of Australia will announce their latest minutes from their interest rate decision held earlier this month.

The RBA were rather neutral in their stance as to what to do next so further evidence of this in my opinion could see Sterling challenge 1.70 levels against the Australian Dollar by the middle of next week.

If you’re intending making a large currency exchange 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 (Tom Holian) on teh@currencies.co.uk and I will endeavour to get back to you as soon as I can.

 

Australian Dollar improves against the Pound following positive US data (Tom Holian)

The Australian Dollar has seen a big fightback against the Pound during Friday afternoon’s trading session as the US Non-Farm Payroll data came out massively better than expected.

US non-farm payrolls measure the amount of new jobs created and the figure which was released showed a total of 222,000 compared to the expectation of 179,000. The US economy is going from strength to strength at the moment and this often has a big impact on the value of the Australian Dollar.

As the world’s leading economy if the US shows positive signs this increases global attitude to risk and this frequently results in strength for the Australian Dollar vs the Pound.

Only yesterday morning GBPAUD exchange rates were touching 1.71 on the Interbank level before falling to 1.69 during late Friday afternoon’s trading session.

The Pound’s drop in value vs the Australian Dollar highlights how many problems the UK economy is facing and this was demonstrated with Friday morning’s UK Manufacturing data and Industrial Production data.

Both came out much lower than expected and this caused the Pound to drop against all major currencies following the announcement.

With the Brexit negotiations going on behind the scenes I cannot see the Pound making any real gains against the Australian Dollar unless we see the UK move towards a softer Brexit so in the short term I find it difficult to see how the Pound is going to improve.

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

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

Tom Holian teh@currrencies.co.uk

 

Could the Pound vs the Australian Dollar make a sustained break past 1.70? (Tom Holian)

The price to buy Australian Dollars with Pounds has broken through 1.70 on a number of occasions through out today following the Reserve Bank of Australia’s decision to keep interest rates on hold.

May investors were hoping for more of a hawkish tone which means an interest rate hike but the RBA was rather cautious and stayed very neutral with its announcement.

Australian interest rates are currently sitting at 1.5% which is the lowest they have ever been and as they were kept on hold this has seen the Pound making gains vs the Australian Dollar.

The RBA are also concerned with how strong the Australian Dollar is against both the USD and the Pound and if they suggested an interest rate hike could be coming this could result in further strength for the AUD vs the Pound.

RBA governor Philip Lowe has stated that ‘consumption growth remains subdued, reflecting slow growth in real wages and high levels of household debt.’ These combinations mean that any rate hike could cause problems for the economy down under hence the soft rhetoric.

Indeed, any suggestion of any interest rate change coming was not mentioned so for me I think we could see further short term gains for the Pound vs the Australian Dollar coming soon.

The next catalyst for GBPAUD movement could come on Thursday with the release of the latest Australian Trade Balance data so keep a close eye out for what happens.

Having worked in the foreign exchange industry since 2003 for one of the UK’s leading currency brokers I am confident of being able to save you money on exchange rates compared to using your own bank when buying or selling Australian Dollars.

If you have a currency transfer to make and would like to save money then email me directly with a quick description of your requirement and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk