Despite higher-yielding currencies declining amid anxieties regarding the OPEC inactivity, the Pound Sterling to Australian Dollar (GBP/AUD) exchange rate dived by around -0.56%. This can be attributed to disappointing data pertaining to the UK and better-than-expected Australian economic data.
The Pound Sterling to Australian Dollar exchange rate is currently tending in the region of 1.8337.
Yesterday…
In the wake of the decision by the People’s Bank of China to suspend repurchase agreement sales, the Pound Sterling to Australian Dollar (GBP/AUD) exchange rate dived by around -0.69%. A lack of market-moving domestic data, meanwhile, has seen the Pound fluctuate in accordance with foreign currency movement.
The Pound Sterling to Australian Dollar exchange rate is currently trending in the region of 1.8370.
Sterling (GBP) Fluctuates on lack of Data
With little by way of domestic data, and nothing in terms of data to provoke volatility, the Pound Sterling has fluctuated as a result of changes in foreign currency movement. However, the solitary British economic data publication did print positively. Lloyds Business Barometer increased from 35 to 42.
The Pound Sterling to Australian Dollar exchange rate has dropped to a low today of 1.8342.
‘Aussie’ (AUD) Surges on PBOC Easing
The PBOC opted to refrain from selling repurchase agreements for the first time since July. Coupled with the recent cut to interest rates, the significantly looser Chinese monetary policy has seen the ‘Aussie’ strengthen on the prospect of cheaper trade. Becky Liu, a strategist at Standard Chartered Plc in Hong Kong, stated; ‘IPOs this week have brought volatility and, given the very limited amount of maturing contracts in the next couple of weeks, it’s no surprise that it suspended repos today.’
Positive domestic data has fuelled ‘Aussie’ gains on Thursday. New Home Sales saw a monthly increase if 3.0% in October, up from the previous flat line figure of 0.0%. Private Capital Expenditure managed to avoid the median market forecast of a drop from 1.6% to -1.9%, with the actual result only dropping to 0.2%.
Pound Sterling to Australian Dollar (GBP/AUD) Exchange Rate Forecast to Soften
Given that British economic data is of little consequence on Thursday, and demand for the ‘Aussie’ is heaping due to China’s economic turmoil, the GBP/AUD exchange rate is likely to continue trending lower.
The Pound Sterling to Australian Dollar exchange rate has reached a high today of 1.8509.
Australian Dollar (AUD) Exchange Rates
[table width=”100%” colwidth=”50|50|50|50|50″ colalign=”left|left|left|left|left”]
Currency, ,Currency,Rate ,
Australian Dollar,
,US Dollar,0.8613,
Australian Dollar,,Euro,0.6875,
Australian Dollar,,Pound,0.5497,
Australian Dollar,,New Zealand Dollar,1.0859,
US Dollar,,Australian Dollar,1.1668,
Euro,,Australian Dollar,1.4568,
Pound Sterling,,Australian Dollar,1.8391,
New Zealand Dollar,,Australian Dollar,0.9209,
[/table]
