AUD exchange rates steady following RBA minutes

Australian Dollar exchange rates have remained relatively flat overnight and this morning following the release of the Reserve Bank of Australia minutes. These minutes will usually give insight into future monetary policy and historically can cause big swings in market rates, however the minutes suggested the interest rate cut seen earlier this month was indeed implemented to counter a quicker-than-expected slowdown in mining investment in the resource-rich economy, alongside the likelihood of worsening
unemployment, but the decision was much closer than expected reducing the likelihood of further interest rate cuts in early 2013. This may keep rates flat in the run up to Christmas and I would expect levels to remain range bound between 1.52-54 against the Pound and 1.23-25 against the Euro.

Should you have any thoughts on this blog or would like a more detailed forecast then please do not hesitate to contact me (Michael Vaughan) on 01494 787478. As a specialist foreign exchange broker I would be happy to give my thoughts on the current market conditions to help you make an informed decision with regards to your individual trade. I can also happily source you a commercial rate of exchange to maximise your position and undercut any quote you may have been given elsewhere. To get more information with regards to the service then email me at mgv@currencies.co.uk