This evening sees the Reserve Bank of Australia produce the latest set of minutes from the last meeting where interest rates were held steady. The dollar could see some gains if the economic outlook is upbeat from the central bank. The recent rally in commodity prices namely from oil and gold should also in theory lend further support to the Aussie. This is one of the reasons that GBP AUD has slipped from its recent highs of 1.76+ over the last week. The agreed cut in oil production is only going to exacerbate the position and the commodity currencies which includes the Australian dollar are likely toperform better after an uncertain run in recent weeks.
Those clients looking to buy Australian dollars with pounds may wish to consider taking advantage of what are still attractive levels despite the dollar gaining a couple of cents in these last two weeks. Those clients looking to sell Australian dollars could see some further room in the dollar’s recent rally.
For those clients with a GBP AUD requirement, tomorrow sees UK Consumer Price Index inflation numbers which could see a considerable market reaction. The Bank of England have recently pushed up their inflation outlook whilst cutting the growth outlook as of last week. A strong number tomorrow morning could see further support for sterling exchange rates as the numbers would effectively complement the Bank of England’s view. UK unemployment data is released on Wednesday which should provide for another interesting release as to how well the British economy is performing.
If you would like further information on Australian dollar exchange rates or any of the major currencies and to discuss how we can assist then please feel free to contact me on 0044 1494 787 478 and ask one of the team for James. Alternatively, I can be emailed directly on [email protected]