Pound to Australian Dollar exchange rates have suffered recently, alongside the rest of the Pound’s pairings, and whilst currently sitting just above 1.64, has hit 1.62 just hours ago.
The underlying factors are there to justify the move. For one the Australian economy is enjoying an unrivalled period of sustained growth and the stability still seems there.
Just today it was reported that full-time jobs has surged to keep unemployment near four-year low, with 14,000 jobs added to the economy in June. The figures are actually stronger than they seem. Actually 62,000 full-time positions were added, whilst 48,000 temporary positions were lost (some of these becoming full-time positions and others being lost due to low tourist season).
What does this mean for rates moving forward?
With the fundamentals established for the AUD to at least maintain its value, the fortune for Australian Dollar buyers using Pounds lies in UK based developments.
We are now into the second round of the first phase of Brexit negotiations. Statements for the Eurozone state explicitly that sufficient progress has to be made here before we can address the key issue which markets are most interested in – trade.
These include the so called ‘divorce bill’, rights for citizens and the Irish border question.
The end of the first talks were formalities, this second round will be very telling at the pace talks are expected to proceed through. Productive conversations should yield greater confidence in Sterling, and the converse should lead to parallel drops.
Personally, based on how talks have progressed so far, I believe that sellers should be facing opportunities next week.
I strongly recommend that anyone with a Australian Dollar based currency requirement should contact me on [email protected] to discuss a strategy for your transfer aimed at maximising your currency return.
You can contact me directly by calling +44 1494 787 478 and asking the reception team to speak to Joshua.
I have never had an issue beating the rates of exchange on offer elsewhere, so a brief conversation could save you significant sums of money on a prospective transfer.