Will GBPAUD remain above 2?

Australian Dollar Strength as Travel Corridor with New Zealand Opens

The outlook on the Australian dollar remains fairly mixed but with the risk slightly to the downside. With the Kiwi clearly coming under some strong selling pressures this month as a result of the change in policy by the RBNZ, it seems probably the RBA will continue to be adopting a fairly accommodative stance in their approach to monetary policy. The region is suffering from lower growth than during the boom years of  with economic growth in China gently falling and demand for Australian raw materials falling too. The longer term projections favour the pound versus the Australian dollar although I expect some form of bounce back once the Greek deal is finalised, whenever that may be!

Tonight is the RBA meeting which I will be very interesting to get a feel for how the RBA view recent AUD weakness and whether or not this is going to be the start of further weakness for the Aussie. To be kept up to date with the latest trends and themes please speak to me Jonathan on jmw@currencies.co.uk for a full overview and the very best exchange rates.