The Pound has hit close to a 30 day high vs the Australian Dollar creating some very good opportunities to buy Australian Dollars recently. The Australian Dollar has come under a lot of pressure recently as global investors appear to be shying away from the AUD in favour of increasing yields elsewhere.
The minutes from the latest meeting in the US have all but guaranteed an interest rate hike in March and since then the Australian Dollar has weakened.
Indeed, the Bank of England are also considering increasing interest rates by as early as May according to some sources as inflation continues to remain above the target of 2%.
With the interest rates in Australia not as favourable as they were in previous years and with other nations looking at raising rates this is why we’re heading towards 1.80 for GBPAUD exchange rates.
A recent statement by RBA governor Philip Lowe suggested that the central bank are unlikely to be looking at raising rates until some point next year as Australia is struggling with low inflation. There appears to be a bit of a two tier economy as the western part of the country has much lower inflation than in the east and this is causing a headache for the RBA about how to control inflation concerns with monetary policy.
Wednesday could be a volatile day for Sterling vs the Australian Dollar with the latest release of Chinese manufacturing data. As China is such a large trading partner with Australia this can often have a big impact on the value of the Australian Dollar depending on how the data comes out.
If you’re in the process of buying or selling Australian Dollars and would like to save money on exchange rates compared to using your own bank then contact me direclty for further information and a free quote. Having worked for one of the UK’s leading currency brokers since 2003 I am confident of being able to save you money and help you with the timing of your transfer.
Email me directly and I look forward to hearing from you.
Tom Holian [email protected]