A quiet week for Australian data but that does not mean the Australian Dollar will remain flat

AUDGBP Tests 0.5600 Once More as BoE Cuts QE

We have not seen any major movements from the Australian Dollar against other major currencies this week, but that does no mean that the rest of the week the volatility will stay away.

Most Australian Dollar movements for the rest of the week will come from other announcements around the globe, including numerous economic data releases and speeches from the U.S.

New Federal reserve Chairman Jerome Powell is currently speaking and is also due to speak again tomorrow, due to the fact that these are his first speeches since taking control, any hint on his personal plans for fiscal policy will be of great interest to investors and speculators alike.

At present it seems that the markets are expecting three interest rate hikes from the U.S in the year ahead and should the new man in charge confirm that he plans to progress along the same lines then this may lead to the Australian Dollar losing value in the coming weeks and months.

As mentioned a number of times before on this site any further hikes in interest rates from the U.S will make their interest rate higher than that of Australia, therefore you would expect investors to shift money from the Australian Dollar into the U.S Dollar, not only to ensure that they get a better return but also due to the USD being seen as a safer haven and less volatile.

Commodity prices will still also be of great importance to those following the Australian Dollar in the year ahead and with projections of a slight drop off in commodity prices as the year progresses this could also weigh on the Australian Dollar too.

For anyone specifically with an interest in AUD/GBP no matter which way you need to move money, Friday morning will also be key for you as Prime Minister Theresa May is due to be speaking to the British public with an update on  Brexit, so this could lead to volatility for Sterling hence moving the AUD/GBP rate.

If you have a currency exchange to carry out involving the Australian Dollar then feel free to get in touch with me directly, I can help you not only achieve the very best rate of exchange but our levels of customer service and speed of transfers are second to none.

Feel free to get in touch with me (Daniel Wright) the creator of this site by emailing [email protected] and I will be more than happy to help you personally.