We have seen some very positive gains for the Pound vs the Australian Dollar since the start of the year with GBPAUD exchange rates moving by as much as 3.5%.
This is the difference of almost £4,000 on a currency transfer of AUD$200,000 which highlights the importance of keeping up to date with what is happening in the foreign exchange markets.
As Australia Day was celebrated yesterday the markets remained fairly flat but I think we could see some further gains for Sterling coming next week. On Friday UK GDP figures for the final quarter of last year came out a lot better than expected with economic growth of 1.7% compared to the expectation of 1.4%.
The UK economy has been rather mixed over the last few months but could this be a sign that things are now looking a lot more positive for the UK and therefore Sterling?
Westpac, which is one of the leading banks in Australia, have suggested that the Australian Dollar could weaken during the course of this year as the RBA may not look at raising interest rates and they have also predicted that commodity prices could fall by as much as 20% during the course of this year.
With the US predicted to increase rates at least twice this year we could see a big sell off from the Australian Dollar into the US Dollar and this in turn could weaken the Australian Dollar vs Sterling.
Therefore, if you’re considering selling Australian Dollars in the near future it may be worth getting things prepared in the short term.
On Wednesday Australia releases its latest set of Inflation data and this is likely to influence what the Reserve Bank of Australia does with regards to monetary policy going forward.
If you have a need to make a currency transfer involving Australian Dollars in the near future then feel free to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency compared to your bank or another currency broker.
Even a small improvement in the exchange rates can make a big difference so feel free to to email me and you may find you could save yourself hundreds if not thousands of Pounds. You can email me (Tom Holian) on [email protected] and I will respond to you as soon as I can.