Australian Dollar exchange rates have remained strong against a host of currencies including the pound despite the Reserve Bank of Australia cutting the base rate to 3% earlier this week. Under normal circumstances this would tend to weaken a currency, however in this instance we have seen the reverse. This is most likely because the prospect of an interest rate hike was very much expected and hence priced into the market, what is less sure however is the future for the Australian economy with some analysts predicting the mining boom has reached its peak. With the Australian economy heavily reliant on the mining sector could this mean a fall in value for the AUD? One thing for sure is the RBA by cutting interest rates has not had the desired effect of devaluing the currency, something the economy needs to make its produce more competitive. For this reason I think the Aussie is beginning to reach its peak and would suggest anyone selling AUD to take stock of your current position whilst selling prices are still historically very attractive. Anyone buying the dollar could, in my opinion, get some more value from the AUD in the coming weeks.
Currency markets are notoriously volatile and almost impossible to 100% accurately predict. The purpose of this website is to give individuals an insight into what factors may affect exchange rates in the coming weeks to help you make an informed decision when it comes to timing your exchange. By putting your self in contact with a specialist money broker this will give you all the necessary tools to make the best decision on your money transfer. Having worked in the industry for nearly 7 years there are a number of different factors and data sets that I will keep an eye on when it comes to forecasting the AUD, should you wish to run through my thoughts in full and would like a full breakdown of the service and many contracts we can offer to maximize your exchange then please contact Mike at [email protected]