Despite sterling’s gains against EUR and USD this month, it’s been a different story for its pairing with the AUD.

Currency Pair% Change in 1 monthDifference on £200,000

Less than 1 month ago, the mid-market had GBP trading against the Aussie at the best levels since the UK referendum, with the highest levels briefly exceeding 1.87.

Since then the pairing has seen movement of over 7 cents, with current interbank levels just below at 1.80 for much of the year.

This is significant movement in such a short space of time, and in monetary terms transfers at the highest points could have achieved in excess of AUD$14,000 more than at the lowest points on a £200,000 transfer.

Australian dollar movement is typically influenced by Chinese economic development, since it’s the country's key trade partner. Lately the on-going trade battle between the US and the world’s second largest economy has had a knock-on effect on the Aussie’s strength.

With this in mind, it will be interesting to see whether the US mid-term results and changes to the Government's structure will have an effect on the approach going forward, as the US has recently been more bullish and arguably benefited as a result.

RBA latest interest rate decision

Attention turns to Australian employment data

Recent Australian economic data has been a mixed bag to say the least; with inflation falling, GDP rising, and interest rates being kept at the same level since the latter part of 2016, at 1.5%.  

This being said, the labour market has continued to perform well with unemployment currently at the lowest level since April 2012. With the latest sets of data to be released on Thursday, investors will be keeping an eye on the outcomes. Currently, unemployment is expected to show an increase of 0.1%, but this could be set to change and if the result shows an improvement on the previous, there could be further favourable movement for the Aussie going into the weekend.

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Exchange rates on this page are interbank rates and indicate where the market is trading to show the performance of a currency pair. They are not indicative of the rates which we offer. The information on this web site is provided free of charge for information purposes only. It does not constitute advice to any person on any matter. Foreign Currency Direct plc. ("FCD") makes every reasonable effort to ensure that this information is accurate and complete but assumes no responsibility for and gives no warranty with regard to the same.