John from Moneycorp

The Pound vs Australian dollar

310 posts in this topic

May (names the) day

 

There was confirmation on Monday that there is no situation in which sterling might find itself that cannot be made worse by the mention of Brexit. Once again it was the prime minister who tossed the grenade when she named 29 March as the day Article 50 will be activated.

 

Investors learned two months ago that Article 50 would be triggered "by the end of March" and 29 March fits very neatly into that calendar slot. So Ms May's pronouncement hardly came as a surprise but investors nevertheless felt obliged to react by marking down the pound.

Share this post


Link to post
Share on other sites

UK Retail Sales

 

There has been a surge in the value of sterling against the EURO following the announcement of better than expected UK retail sales in February, which rose 1.4% against a forecast 0.4%. This is a much more positive outcome than the 0.5% decline at the start of the year and signals consumer confidence is increasing despite higher levels of inflation. These new results have pushed the annual rate of retail growth to 3.7% from 1% in January and caused sterling to rebound as analysts have been predicting.

Share this post


Link to post
Share on other sites

UK Govt. borrowing has dropped to its lowest level since the eve of the 2008 financial crisis.

Share this post


Link to post
Share on other sites

Is that good or bad for us bringing money out here John?

Share this post


Link to post
Share on other sites

This news in particular was good for the pound.

 

Pound is currently at strong levels against the Australian dollar - in comparable terms this year (based on what the rate has been in 2017) then now is a good time to be sending money over.

Share this post


Link to post
Share on other sites

So if I'm looking at things right, over the last year the exchange rate had pretty much plummeted, but it's now increasing? Do you think that is likely to carry on going up?

Share this post


Link to post
Share on other sites

Will depend on economic and political events, lot of things going on which may impact the exchange rate.

Share this post


Link to post
Share on other sites

Pound still strong so far this weekend against the Aussie dollar.

Share this post


Link to post
Share on other sites

Poor retail sales figures in Australia have weakened the Australian dollar.

Share this post


Link to post
Share on other sites

Not great news for the pound.

UK economy slowed down more than expected in first quarter - part of the reason has been higher inflation impacting consumer spending.

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!


Register a new account

Sign in

Already have an account? Sign in here.


Sign In Now