The EU referendum results have confirmed that the UK has voted to leave the European Union. The voting came in at 51.9% to leave and 48.1% to remain and this has caused Sterling exchange rates to plummet against all major currencies including the Australian Dollar.
This has presented some excellent opportunities to sell Australian Dollars into Sterling.
Confidence in the Pound fell sharply and the uncertain future ahead for the UK could cause further losses for Sterling going into next week.
Prime Minister David Cameron has announced his resignation and will stand down as leader in October.
Credit ratings agency Moody’s has downgraded the UK’s credit rating from stable to negative as they predict a big fall in UK GDP figures and ultimately this could case further problems for Sterling in the longer term.
In the week ahead I expect Sterling to continue to suffer as currency does not like uncertainty and we are now in the midst of a period of both political and economic uncertainty in the UK.
However, we are also not long away from the Australian election and with the voting expected to be close this could cause a wobble for the AUD as we approach the election down under.
Therefore, if you’re thinking of selling Australian Dollars it may be worth taking advantage of these rates.
If you don’t have the full amount of funds available but want to buy currency then speak with me about a forward contract which allows you to secure an exchange rate for a future date for a small deposit.
This can prove useful if you’re worried about the current fluctuations of the GBPAUD rates of exchange.
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. Please email me with brief description of your requirement and a phone number and I’ll respond on Monday morning. Tom Holian [email protected]
I look forward to hearing from you.