Sterling Australian Dollar exchange rates have fallen from their recent rise to 2 as they struggle to find their range at the moment.
It was announced yesterday that Chinese loans to Latin America have risen to USD$22bn last year which is the second largest amount lent on record.
This is arguably good news for the Australian Dollar as although the loans are not directly aimed at Australia it goes to show that there is still a huge amount of money available for investment by China.
China is Australia’s biggest trading partner and any growth signs will often result in AUD strength which is what has happened over the last couple of trading sessions.
Moving the focus back to Europe which has also weakened the Aussie Dollar during the last few weeks it was announced that Greece has been offered a 4 month extension to their current bailout terms.
Although the deal has been agreed this has still led to political unrest in Greece who were promised by the next Syriza party that the austerity measures would be reduced or removed.
Next Tuesday the RBA announce their next interest rate decision and after a surprise cut last month I think rates will remain on hold which could provide the Australian Dollar with further strength.
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 for a free quote. Tom Holian [email protected]