Australian Dollar Forecast (Tom Holian)

Over the course of the last week the Australian dollar has done well against Sterling, the AUDGBP rate currently sits at 0.5651.

Australian Dollar exchange rates vs Sterling have kept up their recent strength following some very strong news from the jobs market. Last week Australian unemployment dropped unexpectedly from 6% to 5.8% which saw the exchange rates move by as much as 1% during the trading session post announcement.

Australian Dollar rates have recently traded into the 1.77 levels for the first time since November and with the RBA meeting minutes due tomorrow morning this could signal further strength. With last week’s Aussie unemployment figures so strong this could add further fuel to the fire and send GBPAUD rates down to 1.76 territory.

With the US Dollar relatively weak at the moment it could be argued that riskier currencies are being used as carry trades, which is another reason why we’re seeing such levels.

Chinese GDP is due out on Wednesday and as their growth heavily affects AUD exchange rates any positive signs could see the AUD strengthen further. My feeling is that even if UK announcements come out positively this will only hold the exchange rates at current levels rather than see much Sterling strength against the Aussie.

In the run up to Easter it is important to keep your currency broker up to date with when funds need to arrive so you’re not waiting those extra few days during the bank holiday. If you have a currency transfer to make and want to make sure it arrives on time and with bank beating exchange rates the feel free to contact me directly Tom Holian teh@currencies.co.uk