AUD exchange rates down on the day, forecast for GBP/AUD

Positive Turnaround for the AUD Eases off RBA Cuts in February as GBP Awaits Economic Data

Australian dollar exchange rates have fallen against the pound peaking at 1.5222 on the day from a low of 1.5061 – a swing of over 1%. Overnight anyone with an interest in the Australian Dollar should keep a close eye on unemployment figures and business sentiment. Unemployment figures are expected to show a small increase and business sentiment also expected to show a slight fall, this may create some good buy opportunities throughout the course of tomorrow. Since the turn of the year the pound has had a torrid time against most major currencies, inclusive of the Aussie having fallen over 4.5%. Personally I feel the pound is slightly undervalued and should we see a string of poorer data sets from Australia (possibly starting tomorrow) we may well see the market beginning to correct and a push towards 1.54/55.

Currently this market is proving to be extremely volatile. It is currently not uncommon to see the market swing anywhere between 1-2 cents each day making it extremely difficult to forecast the next market move. For this reason it is becoming increasingly more important for clients to keep in regular contact with their broker. We are here to keep our clients up to date with market trends and have a number of tools to help safeguard and guarantee a particular rate of exchange for delivery at a pre-agreed maturity date. Should you wish to discuss the current market and how this may affect your individual requirement then please do not hesitate to contact me (Mike) at mgv@currencies.co.uk