Where Next for GBP/AUD Exchange Rates? (Matthew Vassallo)

AUDGBP Bounces After Setting Lows for the Year

GBP has spiked back up against the AUD during Wednesdays trading, with the AUD seemingly unable to break the 1.70 level with any consistency. With GBP/AUD rates now moving back towards 1.73, we are once again seeing some of the best buying opportunities of the past two years. It does seem as if the Pound is benefiting from an improving economy but do not expect Sterling to continue on this upward curve indefinitely, as the recent negative moves have shown us. Whilst the Reserve Bank of Australia (RBA) are concerned that the AUD was becoming too strong and negatively affecting their affluent export industry, the same can be applied to the Bank of England (BoE). BoE governor Mark carney has previously mentioned they do not want Sterling’s value to soar uncontrollably, for fear of alienating our own trade partners and distorting our own recovery process.

I still believe we will see GBP meet resistance around the current levels, so anyone with an AUD requirement may wish to take advantage of the recent spike.

If you have an upcoming currency requirement and would like to be kept up to date with all the latest movements on GBP/AUD rates, or any other currency pair, or simply wish to have a comparison with your current exchange provider, then please feel free to contact me directly at [email protected]. Alternatively you can call on of our experienced brokers on 0044 1494 787 478.