This Australian Dollar report looks at the cost of sending money overseas this week and the factors that could affect your currency transfer, the table below shows the difference in AUD you would have achieved when buying £200,000.00 during the high and low trading points throughout the past 30 days:
|Currency Pair||% Change||Difference on £200,000|
The Pound has got close to pre-Brexit levels recently against the Australian Dollar but has failed to break past 1.80 which is a key resistance level. The Australian Dollar has weakened of late owing to concerns that there has been a real slowdown recently in economic activity. Indeed, Retail Sales fell to a 10 year low recently as the cost of living has been rising and consumers have had less money to spend.
Yesterday we saw GBPAUD exchange rates move in a negative direction. There has been a fear that as the US Federal Reserve have been raising interest rates this year then investors have been selling off the Australian Dollar.
As it is almost a certainty that the Fed will raise interest rates for the third and final time this year it could be argued that it has already been priced in and this is in part why the Australian Dollar has strengthened this week.
Overnight, Australia releases the latest Unemployment data for November. We have seen unemployment levels reducing in recent months and with the expectation for 5.4% anything different is likely to cause movement for GBPAUD exchange rates.
As we saw just over a week ago the Pound saw some positive gains vs the Australian Dollar once we had some positive news surrounding citizens’ rights as well as the Irish border issue. Therefore, depending on how the talks go towards the end of this week at the EU summit this could impact GBPAUD exchange rates. Another positive announcement could be the catalyst to send the Pound towards 1.80 against the Australian Dollar.
Owing to the time difference between here and Australia even though you may not be able to speak with your account manager outside of trading hours it may be worth looking at utilising a Limit Order which allows you to set a pre-determined rate which is automatically triggered if we are able to buy at your desired rate.
Thank you for reading my Aussie Dollar report, if you'd like any further information about any of the above or have a question about an upcoming transfer I would be more than happy to assist. Feel free to call on 01494 725 353 or email me here.