Rates on hold but Aussie remains in shark infested waters!

Pound Pushes Higher Against the Australian Dollar on Recent Economic Divergence

I spent some time in Australia 15 years ago and took it upon myself to go swimming at the infamous Bondi Beach! I saw the surfers far out at sea on the big waves and being a young naive Englishman decided to swim out with my good friend. Well before we knew it we were being washed out by the rip tide and with the waves as big as houses were soon panicking!

I somehow managed to swim back in but for a few minutes the situation was very scary and it was very difficult to see a way back. This story perfectly illustrates the way the Australian currency has been performing lately, it is in a rather sticky situation and it is difficult to see a way back.

Last night the RBA (Reserve Bank Australia) looked to keep rates on hold and avoided talking down the Aussie which loosely helped it hold on to some ground but with Greek uncertainty persisting and the UK performing well the GBPAUD rate looks likely to be headed in one direction only! If you need to sell Australian dollars I would be urgently planning some form of exit strategy to remove the risk of the situation deteriorating even further. For more information at no cost or obligation please contact me Jonathan on jmw@currencies.co.uk

I am here to assist in the planning and execution of any currency transfers that you need to make.