The Aussie Dollar has had a very good week this week after starting from very low levels prior to the interest rate decision. The Aussie had been weakening prior to the RBA announcement as there had been some analysts pointing to a further cut by the RBA. However, as mentioned it was highly unlikey the RBA would change policy as Glenn Stevens has been pretty consistent and clear in the RBA Minutes and recent comments.
All the data from Australia this week has been pretty good overall, particularly GDP for the Q4 being revised up, resulting in reasonable gains versus the pound and the Dollar in particular, but has also moved up against the Euro. The single currency however got a boost yesterday as the ECB confirmed improved growth forecasts and maintained current policy so gains here have been limited. We do have US non-farm payroll this afternoon and this will have a bearing on global confidence and the pace at which the Fed may continue to taper, so will likely see the Aussie move depending on how strong the jobs figures are. We do also have a lot of Chinese data out over the weekend so assuming this and US figures are ok, I feel global confidence will keep the Aussie around current levels in the short term. Next big movement likely to be next Thursday when Aussie jobs figures are published, so sellers may want to do something over the next few days, whereas buyers may want to take a punt on weak Aussie jobs figures.
If you need to transfer money to or from Australia and would like assistance getting a competitive exchange rate at the best time feel free to email Colm at [email protected] or call 01494 787 478 and I would be happy to help.