Sterling has reached a day high today of 1.667 and seems to be unrelenting in terms of gaining ground on AUD. Since the surprising vote of confidence by Mark Carney last Wednesday, the UK outlook is much improved.
Carneys initial reluctance to vote for further QE (Quantitative Easing) seems to have buoyed GBP, and seems to have limited GBP to a range of 1.64 – 1.67. As UK data has been on the majority positive, I believe that Thursdays initial release of Q2 GDP will show a small growth figure of 0.4%. Should we see a positive figure, realistically above 0.3%, I believe that we will see strong Sterling movements towards 1.70. The 1.70 mark seems to be a new ‘psychological’ target level, much like 1.50 was only 3 months ago. Should you be looking to achieve this please drop me a line. There are various options available to buy currency at certain positions (1.70 for example), even if the market only hits that limit for a split second!
Should the UK GDP show a contraction (a negative figure), we could see a Sterling loss as markets fear worst!
As mentioned, please feel free to drop me a line on the contact details below. I would be especially keen to get something sorted should you be looking to sell AUD, even if you don’t have the physical currency on account!
01494 787 478