According to recent figures Industrial production in China for the month of November has shown growth of 10.1% compared with twelve months ago. Since the recent change in government these are the first official figures to be published and with growth this good could we future positive movement for the Chinese economy and therefore a continued strengthening of the Australian Dollar. This has also provided the global economy with some goods news as demand for Chinese goods and services is a key barometer to global trade. Inflation has also rose in China to 3% in November compared to 2.7% in October.
With US jobless figures published on Friday showing US unemployment at a four year low this also saw a strengthening of the AUD against both EUR & GBP as investors looked again to more riskier currencies including the AUD. If things continue to get better in both China and the US we could see the AUD strengthening towards 1.50 against Sterling unless something dramatic occurs in the UK.
With Osborne already having downgraded the UK’s growth forecast for the next few months this could lead to some excellent selling opportunities for those looking to transfer Australian Dollars into Sterling. If you would like to find out how to achieve the best exchange rates feel free to contact me directly to find out how. Tom Holian [email protected]