Bank of England Policy Troubling Pound Sterling

Pound Sterling Down Against the Euro and US Dollar as BoE Interest Rate Decision...

Since the 23rd March the UK has been in lockdown which has seen big falls for the stock market owing to the uncertainty of when the UK will be ‘getting back to work'. Pound sterling has however, during this time managed to improve against a number of different currencies including vs the euro and the US dollar. Sterling exchange rates prior to the lockdown suffered particularly vs the US dollar as the pound fell to its lowest level to buy US dollars since 1985. Indeed,...
Australian Dollar Retreats Against the Pound as Trump Threatens US-China Trade War

Australian Dollar Retreats Against the Pound as Trump Threatens US-China Trade War

The pound gained 0.8 percent against the Australian dollar during Friday’s trading as risk sentiment soured. US president Donald Trump threatened new tariffs on China following the coronavirus pandemic. Trump stated his trade deal with China would take a back seat as his government looked at retaliatory actions over the crisis. The president now faces a deep recession in an election year and his ratings have already begun to slide. He has escalated the attack on China, focussing on China’s mishandling of the crisis...
GBP Makes Gains Against AUD as Trade Relations Between China and Australia are Shaken

GBP Makes Gains Against AUD as Trade Relations Between China and Australia are Shaken

Sterling has made some quite significant gains over the last 24hrs. GBPAUD has moved up from 1.90, to highs of 1.9496 on the interbank exchange. This could be more down to Australian dollar weakness than sterling strength. Australia is coping with Covid in a far better fashion than the UK. Now that that Care Home deaths have been added to the official UK death toll and it does not make for pleasant reading with the death toll now exceeding 26k, a terribly high figure in...
GBP to AUD Rate Weakens as the Aussie Strengthens on Positive Economic Data

GBP to AUD Rate Weakens as the Aussie Strengthens on Positive Economic Data

The GBPAUD interbank exchange rate fell to a low of 1.8991 on the back of Australian dollar strength. Yesterday the Australian consumer price index year on year, came in better than forecast at 2.2% against a forecast 2%. Other data sets released this morning in Australia also came in better than expected including private sector credit for the month of March coming in at 1% against a previous reading of 0.5%. Yesterday only a couple of days after returning back to work, Prime Minister Boris...
GBPAUD Rate: Renewed Risk Appetite Continues to Benefit the Australian Dollar

GBPAUD Rate: Renewed Risk Appetite Continues to Benefit the Australian Dollar

The Australian dollar continues to make gains versus the pound as risk appetite continues to increase. Having traded at its strongest level since January 2016 versus the AU dollar, the pound continues to decline and currently sits just over 1.90 to the AUD, a fall of over 8 percent since the March 19th high for the pound. The Australian dollar continues to be bought as investors risk appetite returns to the currency markets despite the economic impact of Coronavirus down under. House prices continue...
GBP Continues to Decline Against AUD as Australia Looks to Ease Lockdown Restrictions

GBP Continues to Decline Against AUD as Australia Looks to Ease Lockdown Restrictions

The pound opens this morning lower still against the Australian dollar as risk appetite continues to return to the market. Having peaked at 2.0852 on March 19th the pound is now trading at 1.9254 – a decline of over 8pc in the past six weeks. Although seemingly disappointing at first glance, these levels are still some of the best trading levels that the pound has seen versus the Australian dollar since the EU referendum in 2016. For the UK, Prime Minister Boris Johnson’s returns to...
AUD Edges Over GBP as Australia Looks to Ease Lockdown Restrictions

AUD Edges Over GBP as Australia Looks to Ease Lockdown Restrictions

GBPAUD trended down through the week as the currency pair fell more than 1.5 percent, closing the week at 1.9340. The Australia dollar had a mixed time the fall in oil prices initially caused a weakening of risk appetite and whilst Australia’s key exports are metals, the dollar weakened on the back of investor’s confidence. However, the dip was short lived, and the recovery of oil prices helped support the dollar later in the week. Minutes from the Reserve Bank of Australia’s meeting also added...
GBPAUD Rate: Pound to Australian Dollar Falls After Weak UK Services Data

GBPAUD Rate: Pound to Australian Dollar Falls After Weak UK Services Data

The pound to Australian dollar exchange rate fell yesterday after much weaker UK Purchasing Managers Index (PMI) data that was released. Rates for GBP vs AUD currently sit at 1.9380 for the pair. UK PMI data for the manufacturing sector dropped to 32.9 or April which was down from 47.8 the previous month. UK Services Sector Data Record Dramatic Fall Causing GBPAUD Volatility The services sector fell to a staggeringly low 12.3 from 34.5 the month prior. The figure is an all-time low since records began...
Pound to Australian Dollar Exchange Rate Weakens After Flash UK Services Data

Pound to Australian Dollar Exchange Rate Weakens After Flash UK Services Data

The pound to Australian dollar exchange rate has dropped sharply today after flash Purchasing Managers Index data arrived much weaker than expected and the lowest on record. Those looking to buy or sell Australian dollars would be wise to plan around all the latest Covid-19 developments as much of the focus is looking towards how long this recovery will take. The UK manufacturing and services sector nose dived this morning highlighting how grave the situation is economically. Bank of England member Vlieghe has said...
Pound to Australian Dollar Forecast: UK policymakers talk down the Pound

Pound to Australian Dollar Forecast: UK policymakers talk down the Pound

The Pound has suffered losses versus most major currencies over the past 24 hours as hopes for an economic ‘bounceback’ were quashed by Bank of England policy makers. Bank of England governor Andrew Bailey warned yesterday that the UK would be foolish to reopen the economy too soon as a second wave of coronavirus infections could prove devastating to the economy, “if we had a lifting and then came back again, I think that would damage people's confidence very severely.” He said that there...