Carney’s comments send GBPAUD through 1.81 (Tom Holian)

Commodity Based Currency AUD Struggles During Global Uncertainty

Sterling vs Australian Dollar exchange rates touched just above 1.81 during today’s trading session following on from Bank of England governor Mark Carney’s comments at the end of last week which suggested that UK interest rates may go up before the markets currently expect.

This led to Sterling gaining against all the major currencies as investors bought into the Pound on the comments.

The Reserve Bank of Australia meeting minutes are due out in a few hours and this could lead to some GBPAUD volatility if there has been any suggestions of a rate change.

Tomorrow morning the UK releases a lot of inflation data including the Consumer Price Index for May and the Retail Price Index for May. Both announcements will provide further evidence for the arguments regarding UK interest rates so I think we could see the Pound rise against the Australian Dollar.

RBA governor Glenn Stevens is due to speak tomorrow afternoon and he will give his thoughts on how the Australian economy is performing so it may be worth using stops and limit orders if you have got a large transfer to make in order to take advantage of some potential short term movement.

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 teh@currencies.co.uk