The Aussie Dollar, amongst other high yielding riskier assets declined yesterday after it was announced that Donald Trump won the presidential election in the US.
The Pound on the other hand was buoyed and climbed to it’s highest levels in some time vs a number of major currencies such as the US Dollar, Aussie Dollar and the Euro.
Exchange rates were very volatile yesterday as the markets decided which direction to move in, and it’s during times like these that timing currency conversions is of paramount importance because the difference between trading at the best time and worst time of the day can make a huge difference.
This is where we as a specialist currency brokerage can assist our clients as not only do we offer highly competitive exchange rates, but we also help our clients make well informed decisions on when to make their exchanges.
The reason for the strengthening of the Pound, and why I think it could continue going into next year is because Donald Trump has previously highlighted his openness to doing business with the UK, which is in stark contrast to the current president, Obama who has previously suggested that we would be at the back of the queue.
When markets are uncertain regarding future policies/power structures there is a historical pattern of moving funds out of riskier currencies such as commodity based ones, like the Aussie Dollar.
Personally I think the Trump presidency could continue to boost the Pound over the upcoming months depending on how smoothly the Brexit process plays out.
If you are planning a currency conversion involving the Pound and Aussie Dollar, it’s worth your time getting in contact with me on [email protected] in order to ensure you make a well informed decision on when to make that particular transfer, as well as benefiting from highly competitive exchange rates from one of the UK’s leading foreign currency brokerages. Just provide me with a basic outline of your currency requirement and I will be back in touch with you as soon as possible.