GBP/AUD rates have dropped during Tuesday’s trading, which is a likely market reaction to RBA governor Glen Stevens speech last night, in which he was very positive regarding the Australian economic recovery. He stated he was happy with the current monetary policy and despite confirming he would act again if necessary, the markets have reacted positively to his statement.
This positive spike is likely to push GBP/AUD rates back toward 1.80 on the exchange, so if you have a short-term AUD requirement it may be worth looking at our forward contract options. This allows you to lock in an attractive exchange rate for a set period of time, without being concerned if the exchange rates get worse during this period.
The AUD has struggled against most of the major currencies recently, in particular the Pound. Although it has moved away from the lows witnessed at the turn of the year, the AUD has lost over 40 cents from the highs of 2013. This has allowed the Australian economy to kick start its export industry again and we are now potentially seeing the start of a recovery. Whilst I do not anticipate a move back to 1.40 we could see GBP/AUD rates breach 1.75 before the end of the year, if the improvement seen in the Australian and Chinese (Australia’s largest trading partner) economies continue.
If you have an upcoming currency requirement and would like to be kept up to date with all the latest market movements, or simply wish to compare our award winning exchange rates with your current provider, the please feel free to contact me directly at [email protected]