GBPAUD exchange rates have been trading above 1.85 during today’s trading session as investors are waiting to see what will happen with the Australian unemployment data due out tonight at 1230pm UK time. Currently unemployment in Australia stands at 6% and although lower than the UK currently standing at 7.2% unemployment down under has risen recently. With growth in China forecast to hit 7.5% this year this is has also been reduced recently after recent years where it has averaged 10%.
Longer term this is worrying for Australia because if growth slows in the world’s 2nd largest economy this could mean less demand for Australia’s natural resources having a negative impact on the Australian economy. Employment change for the country is also out tonight at the same time and the expectation is for 18,000 more jobs so anything less could cause the AUD to weaken against the Pound.
The Aussie Dollar has recently been negatively affected by events in the US which showed unemployment has increased. Typically investors will sell off riskier currencies if news in the US is worrying as global investors in times of uncertainty tend to seek the safe haven of the US Dollar.
US Jobless claims are released at 1230pm UK time tomorrow and the anticipated figure is 330,000 new jobs so anything less could cause Australian Dollar weakness providing some excellent short term buying opportunities if you need to buy Australian Dollars.
Commodity prices have also sunk recently which is another reason for the recent weakening of the Australian Dollar so if you have a currency requirement coming up and want a free quote for transferring Australian Dollars then contact me directly Tom Holian email@example.com