Australian Dollar still holding strong – A few pieces of key data to watch out for in the next 24 hours – Why is the AUD getting strong again? (Daniel Wright)

AUDGBP: Australian Dollar Weakens in Worst COVID-19 Day Yet

The Australian Dollar has been on a minor fightback over the past few weeks following slightly better economic data and just in general a better outlook for the Australian economy than had been initially expected from the RBA merely a few months back.

It appears that the Asian influence is the key at the moment with both  China looking to inject more money into their economy and a trade deal being agreed with Japan – Both of these two elements have helped the AUD gain strength of late and also the fact that the RBA now appear not to be moving interest rates in the coming months after they had dropped quite a bit over the past year or so.

The one note of caution for anyone looking to sell Australian Dollars is that it was only a few months back the both the Government and the RBA had spoken on record to say that they were not happy with how strong the Australian Dollar is at present and would not be opposed to looking at artificially weakening the currency should the strength continue.

Now it did weaken away a little following this but the recent movement back is starting to bring it back to levels it was when they said this so either they have completely changed their mind or you may get a big surprise pop up that may weakened the Australian Dollar at some point in the near future… This could be days, weeks, months away or may never happen but it is certainly something to take into consideration.

Tonight we have the FOMC meeting minutes from the last U.S interest rate decision which may affect global attitude to risk and tomorrow we have Australian unemployment figures which are one to keep a keep eye on too.

If you are looking to buy or sell Australian Dollars in the near future and you want to get a better rate than your bank or current broker then it is well worth getting in touch with me directly as I will be able to help you do so. You can email me (Daniel Wright) directly on [email protected] with a brief description of your requirements and I will be more than happy to contact you personally.