The Pound has been in a very visible limbo since the inconclusive election result, with Australian Dollar buyers and sellers waiting for news on where rate trends are expected to go moving forward.
That is not to say the interim period has been lacklustre and boring. Far from it. It is simply that economics has taken over in the meantime.
This has been the saga of interest rates which has been a dominant factor in currency value since last year, with the US being the first developed country to raise interest rates since the financial crisis.
Public disagreements between the Governor of the Bank of England, Mark Carney, and members of the BOE Monetary Policy Committee over whether to raise interest rates in the UK or not has seen the Pound behaving like a yo-yo in recent weeks, but with little overall change.
The deciding factor will be the official formation of a minority Government next week, with official voting on their manifesto to go through Thursday-Friday to conclude the month of June.
The fact that any resolution seems likely to help the Pound given the hints noted recently on currency markets should be in the forefront of anyone with a Australian Dollar requirement’s thought process. The question at this point arguably is just how much the Pound will rise up against the Australian Dollar next week, and not if.
In this context Australian Dollar buyers do not seem to have the same level of urgency as Australian Dollar sellers. You can secure exchange rates for AUD/GBP beofre interbank rates are expected rise back above 1.70 by contacting me over the weekend whilst markets are closed on email@example.com. Even if your requirement is not until the end of the year, you can pre-book your currency at current attractive levels using the tools available at a specialist currency brokerage. There is not additional cost to pre-book.
I strongly recommend that if you have a currency requirement to buy Australian Dollars to contact me again on firstname.lastname@example.org to discuss a strategy for your transfer aimed at maximising your AUD return.
I have never had an issue beating the rates of exchange on offer elsewhere, so a brief conversation could save you a significant sum on a prospective transfer.