It has been a volatile start for the pound against the Australian Dollar in the first couple of weeks of 2014. The AUD has actually strengthened down from 1.86 back to 1.81 and today we witnessed a big decline for the Aussie where sterling rose by over 1.3% and is reaping further misery on clients looking at selling the AUD.
I had many clients who capitalised on the 3% spike recently for selling their AUD/GBP as the rate spiked but we are already seeing a reversal of this and the rate could easily try and break through 1.86 heading towards the late 1.80’s in the near future.
If in need of buying or selling the currency please do feel free to contact myself Ben Amrany on [email protected] and I can explain all the options available to you in trying to achieve the best exchange rate.
Tomorrow the unemployment figures will be released and this could cause GBP/AUD to head back towards 1.86. Many analysts are expecting unemployment to rise this year and long term I think that the rate will slowly head towards 1.90 as the RBA have been extremely vocal about weakening the currency further. Should a negative number come out of Australia in connection with the unemployment then the end of the week will more than likely be just as volatile.
The next two to three months will be very interesting to see how the rate develops. If I was looking at buying the Aussie Dollar then I would probably hold out to see if the rate can rise close to 1.89 or 1.90 and then look at executing my conversion. If selling the Aussie then I would be selling sooner rather than later. If the RBA do decide to cut interest rates again then this will tip the balance in favour of the pound and we could see another big AUD decline this year.
If you are in the situation needing to move money internationally and looking for the best price – please feel free to contact the author – Ben Amrany – via the telephone number at the top of the page or via email at [email protected]