Anyone looking at the Aussie should keep a close eye on the Reserve Bank of Australia minutes scheduled for realease overnight. This will give insight as to what policies the bank could have in store over the course of the next couple of months. Most analysts expect the RBA to cut interest rates sometime within the next 2/3 months and these minutes may go someway to conform these rumours. Any indication and hints towards a ratre cut then I would look for GBP/AUD to shift towrads 1.68 and EUR/AUD towards 1.45. Should the tone of the minutes give little insights as to the next move by the RBA then I would expect GBP/AUD to test 1.65 amd EUR/AUD 1.42.
As with the RBA, the Bank of England minutes on Wednesday should also be focused on. These being the first minutes under new governor Mark Carney. What the market will look for here will be clues as to future QE. Personally I think the split of the 9 members of the committee is likley to have been 6-3 in favour of keeping QE on hold, however a shift towwards 5-4 and watch for GBP losses on Wednesday morning.
Should you have an upcoming exchange to arrange and you would like to discuss the market conditions in more detail then please do not hesitate to get in touch. As you can see the next few days could prove very interesting and I would expect the current market volaitility to continue. Should you wish to avoid this uncretainty and you would like a quote for your upcoming exchange then please call the office on + (0)1494 725353 or email [email protected] and I will gladly be of assistance.