The Pound had a very bad days trading today, ending the day ‘red screened’ (a red price is seen when a price has fallen). This shift has been primarily due to a substantially reduced figure released by ‘Markit’ for the UKs Purchasing Managers Index. This is an indication as to the business conditions and outlook for UK businesses, essentially showing the Pound as a lot weaker than the market has anticipated. With all this in mind however it is clear that the Australian Dollar is the weaker side of the pairing, as on numerous occasions the Reserve Bank of Australia have mentioned that they feel AUD is massively overvalued.
With risky commodities and currencies having recently taken a battering, this could be a good window of opportunity for Australian Dollar sellers to take advantage of. Although it is only 6 weeks since rates tipped in to the 1.80s, it is very much my opinion that we will be back in to the 1.90s (at least!) within the next few weeks.
If you have have an exchange requirement, please feel free to get in contact. I am able to access award winning exchange rates, so happy that I can maximise your exchange!
I look forward to hearing from you…
01494 787 478 / AJB@currencies.co.uk