Despite this, in October last year, the GBP reached the best levels against the AUD seen since the referendum, but then suddenly weakened approximately 14 cents to some of the worst levels in the 12 months prior, dropping just below 1.73.

Since then, Sterling has seen steady gains against the Aussie, with current interbank levels appearing to be moving closer and testing 1.80. 

The 1.80 level has been somewhat of a resistance for the GBP/AUD paring over the last 12-months, so it remains to be seen whether the pairing will exceed it and then find stability above, but with general sentiment in  the GBP seemingly on the up, following growing reports  that a potential ‘no-deal’ exit from the EU is becoming less likely, there its growing optimism that the market might accommodate this.

Overnight, Chinese GDP data was released which showed a slight reduction of 0.1% for the previous quarter and over the last 12 months.  

Australian Dollar movement is typically influenced by Chinese economic development, since it’s the countries key trade partner of its commodity-based exports; iron ore and coal.

The results could therefore influence GBP/AUD movement, providing an opportunity for Sterling gains on the back of weakening sentiment in the Australian dollar.

Clients with an upcoming requirement involving the AUD, can keep up to date with the latest releases by contact their account manager here at Foreign Currency Direct.

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.