With China’s export growth figures coming in below expectations in November this has seen a short term move away from the Aussie Dollar as investors pull out their funds. This has seen GBPAUD exchange rates break through 1.53 with a next resistance level of 1.5350 expected. Exports grew at only 2.9% compared to analyst expectations of 9% so with a slowdown in China this has dented confidence in the Aussie Dollar. Over the weekend Chinese data was very strong as Chinese retail sales increased which boosted the strength of the AUD.
It was announced that Italian Prime Minister Mario Monti has decided to step down after the Italian budget and interestingly Berlusconi has put himself forward as a candidate for the role. This could cause problems for the Euro as one of the reasons why Italy got itself back in track in recent times is down to the stewardship of Monti who has been a calming influence. If the Euros has problems this could mean investors looking for safe haven currencies which could include the US Dollar and Sterling so if you’re thinking about when to transfer Australian Dollars feel free to contact me directly via email. Tom Holian [email protected]