The Australian dollar has once again started to strengthen on the pound by around 5% from its recent lows. Announcement from the Reserve Bank of Australia that interest rates are unlikely to be cut in the near term have helped the Aussie and analysts beleive the next rate cut could be early next year. There seems to be an acceptance of the current levels which further supports the case that rates are going to be on hold for some time. The escalating debt issues in the US, present and future, are likely to make the Aussie more attractive certainly in Asian markets which have been displeased with the American turmoil, further adding support to the Aussie.
For clients needing to buy dollars rates are still fairly close to the recent 3 year high. There is now a strong chance rates for GBP AUD will move back down to 1.64 /1.65. If you need to transfer money to Australia or have recently sold a property there then please feel free to contact me at [email protected] and I will explain the benefits of using a specialist currency broker for your transfer.