I think we could be in for an Aussie bounce, ie a strengthening of the AUD as investors who have previously been fleeing the Aussie come back in the search of higher yields. Whatever is going on in China and with plenty of worries in the world the Australian economy still represents a very good short term opportunity. With there bieng a strong likelihood of the ECB (European Central Bank) embarking on a wide ranging QE programme in the future this could free up barrels of cash for European investors to invest. Couple this with there being a chance that the raising of interest rates in the US actually causes the USD to strengthen and we could easily see an improvement for AUD Sellers.
Such a move is risky but if you are selling AUD to buy the pound there is a good chance the pound will weaken in the coming months and this would lead to further opportunities! Despite what I feel could be a good short term opportunity to buy the pound with Aussies, the longer term forecast does not seem to support the Australian dollar. If you have a transfer to consider buying or selling the Aussie dollar the next few weeks look likely to be very volatile as we learn of news from both the European Central Bank and the US Federal Reserve, with there being a strong chance of some important new in the coming month. For more information please speak to me on [email protected]