Pound hits best level to buy Australian Dollars since June

The Pound has hit its best level to buy Australian Dollars since late June creating some excellent opportunities to send money to Australia from the UK.

The Australian Dollar weakened during yesterday’s trading session as housing data showed a fall for July and business investment also showed a large drop during the previous quarter.

The Australian Dollar has moved closer to 1.80 and I think we’ll see this hit later on during today as the Pound has already been moving in an upwards direction this morning.

The Australian Dollar has also been negatively affected by what has been happening in China recently in terms of the ongoing Trade Wars between themselves and the US and this has caused a problem for the Australian economy. The main reason, is that China is such a big market for Australia so any problems in the world’s second largest economy can often have a ripple effect on Australia and therefore the value of the Aussie Dollar.

Indeed, this uncertainty and signs of a bit of a slowdown in Australia are causing a problem for the Reserve Bank of Australia who are determined to keep interest rates on hold for the moment and this has seen the AUD weaken vs the Pound.

Business investment data showed a fall which suggests a less positive outlook for next year, this could see further weakness ahead for the Australian Dollar.

With the recent change in leadership in Australia with Malcom Turnbull ousted in favour of Scott Morrison this has also caused some uncertainty for the currency.

As we go into next week we could see some further positive movement for GBPAUD exchange rates with the latest release by the Reserve Bank of Australia as well as Australian GDP figures on Wednesday. I think this could be what sends Sterling above 1.80 against the Australian Dollar, which may be the opportunity that many have been waiting for recently.

If you would like further information about the potential impact of the above factors, and the difference when buying or selling Australian Dollars compared to using your own bank then contact me directly using [email protected], I look forward to hearing from you.

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