We are now just a few hours away from the result of the latest general election and at the time of writing it looks as though the Tories will clinch victory.
At the moment the markets are relatively quiet in anticipation as to what may happen overnight. It is not yet clear what time we should expect the vote but we are likely to see volatility for GBPAUD exchange rates overnight.
My suspicion is that we will see a Tory victory but if the voting is close or if we even have a hung parliament this could cause big problems for the Pound overnight.
However, a Tory victory is likely to provide the markets with some certainty for the next few years and this typically results in strength for the currency involved and in this case Sterling.
As we have seen during the course of 2016 with both the Brexit vote as well as the Trump victory the market can be full of surprises and the opinion polls can be dramatically wrong causing big movements on the foreign exchange markets.
One issue longer term is that even if we do see the Tories win with a majority the boost for the Pound may be short lived as it means that the Brexit negotiations will be allowed to begin and this is likely to be a very challenging period for both British political will as well as the British economy.
Having worked in the foreign exchange industry since 2003 I am confident not only of being able to offer you bank beating exchange rates when buying or selling Australian Dollars but also help you with the timing of your transfer.
If you have a currency transfer and would like further information or a free quote then contact me directly and I look forward to hearing from you.
Tom Holian [email protected]