The Pound has once again broken through 1.80 against the Australian Dollar as it appears as though the UK has significantly taken steps forward over the Brexit talks.
A draft Brexit agreement has been put in place and today Theresa May will be holding a cabinet meeting in order to win support over the current deal between the UK and the European Union.
Since yesterday, Downing Street has been meeting ministers one by one in to discuss the draft agreement and the deal includes an agreement whereby there is no separate customs border for Northern Ireland.
There are divided opinions among MPs as to what they think of the proposed deal but Theresa May is hoping to get the backing from the cabinet at 2pm today.
I think owing to the changes made previously to the staff in the cabinet then I think it will get approved, which could then mean a meeting could take place at an emergency EU summit on 25th November.
If the cabinet agrees to sign off the deal then the European Union are likely to publish the 500 page draft agreement and also the shorter papers on both economic and security deals between the UK and the European Union.
However, even though I fully expect the agreement to be approved later on this afternoon this is just one step closer to a deal being done. Parliament will then still need to back the government’s proposal and at the moment some Tories as well as members of the DUP appear to be opposed to the current deal and so getting it through the House of Commons in the future could appear very difficult.
Economic Data in Australia
Turning the focus back to what is happening in Australia we will see the release of Australian Unemployment data due out tonight with expectation of a rise from 5% to 5.1% highlights problems with the economy down under.
With the Reserve Bank of Australia announcing earlier this month that they will be keeping interest rates on hold for the foreseeable future I think with unemployment rising this could cause further problems for the Australian Dollar.
If you would like a free quote when transferring Australian Dollars and would like to save money compared to using your own bank or another broker then contact me directly and I look forward to hearing from you.
Tom Holian [email protected]