The Australian Dollar continued to tumble against the Pound over the weekend to trade at its lowest level since February 2010.
The Australian currency has been battered by a string of disappointing data reports and has been hit hard by the ongoing speculation as to when the US Federal Reserve will choose to taper its $85 billion per month monetary easing programme. Last week saw a report show that the land down under’s GDP came in well below expectations, suggesting that all is not well in the nation’s economy.
Continuing efforts by the Reserve Bank of Australia continues to weigh heavily upon the ‘Aussie’ with many policy makers saying that they believe that the currency is still ‘over valued’. Last week saw RBA governor Glenn Stevens reiterate his belief that the currency is ‘still uncomfortably high’. The RBA wants a weaker currency in order to boost exports and to help re-balance the economy.
The Pound could push even higher if this week’s data releases continue to paint a positive picture for the UK economy. If industrial production data shows continued improvement the Pound is likely to push higher.
Last week’s US jobs report also piled on the pressure after it showed that the unemployment rate in the world’s largest economy fell to a five-year low. As the positive news continues to come out of the US, expectations mount that the Federal Reserve will taper its monetary easing programme within a matter of months, a move that would harm commodity and emerging market currencies.
Jobless data for Australia is due later this week but is likely to show that unemployment in the country rose as the mining boom continues to slow down. U.S. employers added 203,000 jobs in November and the jobless rate fell to 7 percent, a report last week showed whilst the Australian report is expected to show that unemployment rose to 5.8% in November. The Australian report is due for release on the 12th of December.
Current Australian Dollar Exchange (AUD) Rates
The Australian Dollar/US Dollar Exchange Rate is currently in the region of: 0.9083
The Australian Dollar/Euro Exchange Rate is currently in the region of: 0.6621
The Australian Dollar/Pound Sterling Exchange Rate is currently in the region of: 0.5544
The Australian Dollar/ New Zealand Dollar Exchange Rate is currently in the region of: 1.0973
The US Dollar/Australian Dollar Exchange Rate is currently in the region of: 1.1009
The Euro/Australian Dollar Exchange Rate is currently in the region of: 1.5101
The Pound Sterling /Australian Dollar Exchange Rate is currently in the region of: 1.1940
The New Zealand Dollar/Australian Dollar Exchange Rate is currently in the region of: 0.9113
Correct as of 12:00pm GMT
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