The Australian Dollar remains higher against the Pound and is trading close to its highest-level since July against the US Dollar as the markets were buoyed by the possibility that air strikes against Syria may not occur and as consumer confidence data beat expectations.
US President Barrack Obama has postponed the planned congressional vote for military action after the Assad regime admitted for the first time that it was in possession of chemical weapons and said that it will agree to hand over its stockpile of the weapons to the international community. The plan orchestrated by the Russians will be a seen as a victory for Vladimir Putin.
Meanwhile in Australia the latest Westpac Banking Consumer confidence Index rose by 4.7% to 110.6 in September. A figure above 100 indicates that optimists outnumber the pessimists. Business confidence also increased with Augusts data showing that confidence rose to its highest level in more than two years.
“This provides some optimism that some of yesterday’s big rise in business sentiment will stick,” said Citi analysts in a note to clients. “The RBA now has more time to assess whether the gains in leading indicators like sentiment will translate into effective rises in hard activity.”
Both sets of confidence gains are being attributed to the victory of Tony Abbott’s Liberal National coalition at the Federal elections.
Tomorrow sees the publication of the latest jobs data for the country. The unemployment rate is expected to remain at the current rate of 5.7%.
Current Australian Dollar (AUD) Exchange Rates
The Australian Dollar/US Dollar Exchange Rate is currently in the region of: 0.9296 >
The Australian Dollar/Euro Exchange Rate is currently in the region of: 0.7005>
The Euro/Australian Dollar Exchange Rate is currently in the region of: 1.4274 <
The Pound Sterling /Australian Dollar Exchange Rate is currently in the region of: 1.6937
Correct as of 10:45 am GMT
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