This week was a fairly positive week for the pound vs the Australian dollar. The week started with rates fluctuating in the low 1.71s and finished in the low 1.74s.
This week Theresa May was appointed the UK Prime Minister and some uncertainty within UK politics was removed. Before Theresa May’s appointment she said she would not trigger Article50 until the end of the year, which gives the UK more time to negotiate with EU behind closed doors.
As for economic data the UK interest rate decision stole the headlines. Many economists believed an interest rate cut was inevitable however only 1 member of the Monetary Policy Committee agreed. I believe the appointment of Theresa gave the Bank of England at least another month before having to make hasty decisions.
However the Bank of England did exclaim that most of the MPC members expect monetary policy to be loosened in August. Therefore it seems we could see another dip in the pounds value next month providing another attractive window for Australian Dollar sellers.
Looking ahead the Reserve Bank of Australia are set to release their latest interest rate decision minutes in the early hours of Tuesday Morning. This should give a clear insight to future policy and if the RBA plan to make future cuts. I wouldn’t be surprised to see a dovish tone throughout and the Australian dollar lose value.
As for economic data the UK have their latest inflation numbers Tuesday morning and a slight rise is expected consequently we could see a slight improvement in GBPAUD exchange rates then.
The currency company I work for has won numerous awards for exchange rates therefore it enables me to trade Australian dollars at rates better than other brokerages and high street banks. I would recommend sending an email with a brief description of your requirements and your timescales (this is very important, the length of time you have will change your options) and I will email you with my strategy and the process of using our company[email protected]. Alternatively if you would like to discuss your requirements over the phone call 01494-787478 and ask to be put through to Dayle Littlejohn