Pound vs Australian Dollar exchange rates have hit their best level to buy Australian Dollars with Sterling since September as the Pound continues to make advances against all major currencies this week.
Sterling has gained off the back of some positive comments made by Brexit secretary David Davis who suggested that the UK may try and maintain rights to the single market by offering to make payment to the EU even after we have left the European Union. These comments mean a soft Brexit is more likely than a hard Brexit and one of the key reasons for Sterling’s gains this week.
The Australian Dollar has also suffered owing to what is happens in the US economy at the moment as well. The US has continued to show strong signs of growth as well as positive unemployment data at its lowest level since 2007 released earlier today. The ongoing good news in the US is making an interest rate hike more and more likely when the US Federal Reserve meet on 14th December and if the Fed do decide to raise interest rates this could see a big sell off for the Australian Dollar resulting in GBPAUD exchange rates going in an upwards direction.
On Sunday the Italians will be holding a referendum on constitutional reform and Prime Minister Matteo Renzi has threatened to resign if the votes don’t go his way which could lead to Euro weakness which could in turn strengthen the Pound against all major currencies including against the Australian Dollar.
However, the UK government will be going to the Supreme Court next week to try and overrule the previous High Court ruling which argued that the UK government will need parliamentary approval to trigger Article 50.
Therefore, if you’re looking to buy or sell Australian Dollars next week could be rather volatile for the GBPAUD pairing.
Having worked in the currency markets since 2003 I am confident of being able to offer you better exchange rates than using your own bank and also being able to help you with the timing of your transfer.
If you have a currency transfer to make and want to save money on exchange rates then contact me directly for a free quote and I look forward to hearing from you.
Tom Holian [email protected]