Sterling has rocketed vs the Australian Dollar this morning following the suspension of Chinese stock markets.
So far this morning we have seen Sterling move upwards by as much as 3 cents.
The stock market had fallen by as much as 5% after the Purchasing Manager’s Index fell to 48.2 in December which showed a contraction in factory activity in the sector.
Up until this news the Australian Dollar was on course to possibly drop below 2 but this dramatic movement has shown very clearly the effect and control that Chinese data has over the Australian Dollar.
The Chinese currency has itself hit a 4 year low against a basket of currencies and could drop even further.
My prediction over the next few days is for further Australian Dollar weakness vs the Pound following the problems in China.
This could lead to even better opportunities to buy Australian Dollars with Sterling.
If you have a currency transfer to make and want to save money one exchange rates compared to using your own bank then contact me directly for a free quote. Tom Holian [email protected]