The value of the GBPAUD rates has been rather changeable recently. The AUD report below looks into the multiple external factors impacting exchange rates and what GBPAUD could look like as we end the trading week. The table below shows the difference in return you could have achieved in Aussie Dollars, depending on the time you carried out your transfer during the last month.

Currency Pair% ChangeDifference on £200,000
GBPAUD2.15%AUD $7,500

With global economic forecasts changing with trade tariffs being spoken about, oil and raw material values changing, and Brexit talks back in the UK. As a result GBPAUD rates have remained very changeable. Over the last 14 days GBPAUD rates have fallen by nearly 2% making nearly AUD $8,000 difference on a £200,000 transfer.

GBPAUD rates have been swinging by several cents every couple of days and the range in its value is quite wide when compared to other currency pairings. This means that anyone with a GBPAUD trade should very much keep in close contact with their broker for opportunities to take advantage of.

Australian data shows sign of weakening

Yesterday Import export figures for Australia were released and both showed a large improvement. This would have normally resulted in the Australian dollar getting more expensive but we start today at the cheapest time for over a week. The reason for this is following the US-EU trade talks moving forward which backs up the view that the interest rate differential between the US and Australia could continue to widen. This in turn pushes investors out of the AUD and into the USD, and this ‘sell off’ in the AUD made it cheaper to buy.

AUD feels the knock on impact of China's economic uncertanty

RBA interest rate decision in August could be unchanged

First thing this morning we have also had Australian Production Price Index figures released which also have shown a drop compared to forecasts. This could well set the trend for the coming week for the Australian Dollar, if data next week also shows a contraction the expectation will be that the the Reserve Bank of Australia could well leave interest rates unchanged at current levels.

Next week we have House figures on Tuesday, inflation on Wednesday, import/export on Thursday and Retail on Friday.  Personally I expect GBPAUD rates to stay within a range of 1.76-1.79 but would not be surprised if rates start to climb.

For more information on how future data releases could affect your currency requirement, call our trading floor on 01494 725 353 or email me here.

Download our monthly currency forecast

Download here


Read more articles
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.