In the early hours of tomorrow morning the RBA will reveal the minutes of their latest meeting. Whenever a central bank reveals the committee’s thoughts markets can always get excited. Several countries around the globe have started to raise interest rates and the recent strength for the Australian Dollar over the last 9 months suggest Australia may be the next to hike rates.
China which is one of the key influences on the Australian economy last week released positive date and installed further confidence that things are settled. In my opinion it would not surprise me if there is a downward movement in the GBP/AUD rate tomorrow morning and may present a good time for Aussie Dollar sellers. However come tomorrow afternoon the main influence will be Bank of England Governor Mark Carney. The UK interest rate conundrum continues on and if Carney makes a hint towards a hike expect a major market movement. Tomorrow could see a good morning for the Aussie Dollar reaching a near month high followed by a return to nearly 1.70 on the GBP/AUD rate.
The end of the week may also bring AUD volatility as there will be a release of June’s unemployment figures. If these are positive expect Aussie Dollar strength, however as always anything negative or unexpected can shock the market.
When the markets are this volatile there will always be spikes and drops, making timing a transfer vital to maximise your funds. If you have any questions with my forecast above or would like to simply discuss an upcoming requirement you have please send me an email to [email protected]. I would be happy to share my thoughts with you and I may be able to offer a viable solution to help you complete a trade, as I have several years experience working for a brokerage