The Australian Dollar has strengthened vs the Pound during yesterday’s trading session as the price of iron ore soared as Chinese policy makers stated that they would support economic growth. This caused the price of iron ore to gain by its biggest daily amount since 2009.
As one of Australia’s biggest exports any increase in the price of the commodity influenced by demand often causes the Australian Dollar to strengthen.
Many of the biggest mining companies have also seen their stock value jump during yesterday’s trading session. Other commodities have all started to improve including oil prices, copper and steel.
With the UK released the NIESR GDP estimate tomorrow and the ECB set to possibly release further QE on Thursday this could increase global risk appetite and strengthen the Australian Dollar even further.
Therefore, if you need to sell Australian Dollars into Sterling it may be worth waiting till the end of the week to see what happens.
If you have a currency transfer to make and want to save money on exchange rates compared to using your own bank then contact me directly for a free quote. Tom Holian [email protected]