Sterling vs Australian Dollar exchange rates have remained relatively quiet today in the run up to the bank holiday weekend.
However, expectations of a rate rise by the Reserve Bank of Australia have fallen following the budget last week which has dented consumer confidence and therefore put a little bit of pressure on the Australian Dollar.
This is one of the reasons why Sterling has picked up against the Australian Dollar this week.
Expectations of an interest rate hike over the next 12 months were a month ago as high as 80% but now they’re down to a mere 12%. With consumer confidence dropping at its fastest rate since the financial crisis of 2008 the Aussie Dollar has had its biggest weekly drop since January providing Australian Dollar buyers with some excellent buying opportunities.
The UK data out during May has been very strong. We have seen Retail Sales at their highest level for ten years and UK unemployment the best since 2009 and with inflation under control things appear quite rosy for the UK…at least for the time being.
On Tuesday morning there is UK data due out in the form of UK Mortgage Approvals. With the housing market having risen nationally by an average of 8% is the figures are strong we could see Sterling strengthen against the Australian Dollar.
if you have a currency transfer to make and want to save money on exchange rates compared to using your bank then contact me directly Tom Holian [email protected]