This week AUD has been gaining in strength, all following concerns that China news will continue to make the dollar more expensive. One of the biggest impacts why however the AUD has got weaker making it cheaper to buy is actually from the US. Regular readers will be aware of the QE in the US where they are currently doing $85 billion worth of printing money a month to boost their economy. There was talk earlier this year that they would start to slow this down, “tapering” which resulted in people buying the USD. Due to the recent government “shut down” in the US this view has now changed and the market expected them to not start tapering their printing of money program until the end of Q1 next year. The impact on the market is that people are not comfortable to hold USD or risky currencies including the AUD. This has made people sell off the Australian Dollar making it cheaper to buy.
Plus today the additional drive up was from UK GDP figures, this showed an improvement however the market did not move at the time to represent this. The reason being is that there was a large expectation that the data would be positive so the market priced in this expectation overnight. I personally expected this and wrote about it earlier in the week. It is this experience in the market that can made a significant difference to getting the best buying levels. This morning a number of my personal clients traded on this information and saved over 3% compared to when they first came to me looking at moving their money even at the beginning of the week.
This coming week we see a few data releases however as we enter the last week of the month other factors will be driving the market. If you are looking at moving money internationally and would like our assistance with the timing of the trade please feel free to get in contact. Here we have won a number of awards for both our service and the rate of exchange on offer so you can trade happy knowing that you are saving money compared to your current provider; bank or broker. We trade in excess of AUD $800,000,000 a year, we are a revenue based firm not a margin based firm allowing us to undercut others providing a financial saving to our 60,000 clients.
Contact me via email at [email protected] for more information or on the number at the top of the page, ask for myself STEVE EAKINS and I will be happy to help.
Have a great weekend,