The Pound Sterling to Australian Dollar (GBP/AUD) exchange rate has fallen spectacularly today, with the Pound (GBP) coming in low against a rallying ‘Aussie’ (AUD).
GBP/AUD Exchange Rate News: Bank of England (BoE) Repetition Results in Unmoved Investors Today
The Pound Sterling (GBP) has sunk to a low of -1.3% against the Australian Dollar (GBP/AUD) today, but this exchange rate is largely similar to the earlier ones seen for the Pound against its rivals. Elsewhere, Sterling has dropped by -0.4% against the US Dollar (GBP/USD) and -1% against the New Zealand Dollar (GBP/NZD) but risen by 0.4% against the Romanian Leu (GBP/RON) and by 2% against the South African Rand (GBP/ZAR).
The largest piece of UK data this week has come today, with the announcement of the last BoE Interest Rate Decision of the year. In many ways, it was simply a replication of earlier Monetary Policy Committee (MPC) meeting results – the UK interest rate remained unchanged at 0.50%, with historic hawk Ian McCafferty representing the sole vote in favour of a rate hike. This had little overall impact on the Pound’s value, as it fell largely in line with the expectations of economists.
Australian Dollar (AUD) Soars Today on Better-than-Expected Unemployment Result
The Australian Dollar (AUD) has made a number of notable gains on a bullish day – these include 1% against the Chinese Yuan (AUD/CNY), 1.3% against the Pound Sterling (AUD/GBP) and 1.4% against the Euro (AUD/EUR). This favourable performance comes as an encore to last week’s bullish ‘Aussie’ behavior.
The main reason for the current rally being seen by the ‘Aussie’ is that the earlier Australian Unemployment Rate for November defied expectations to fall from 5.9% to 5.8%, instead of rising further to 6%. Additionally, the December Consumer Inflation Expectation rose from 3.5% to 4% at the beginning of the day.
GBP/AUD Exchange Rate Forecast: UK Inflation Target and Construction Results Out Tomorrow Morning
With all of the week’s Australian economic publications now out, the next movement for the GBP/AUD pairing is likely to take place tomorrow morning when the last UK releases are due.
These include the seasonally adjusted October monthly and yearly Construction Output results; the former is predicted to rise from -0.2% to 1%, while the latter has been forecast to ‘improve’ from -1.6% to -1.1%.
The other UK economic announcement in the near future will be the Bank of England (BoE) and Gfk Inflation Rate estimate for the next 12 months; the previous year’s number was 2%.
Current GBP, AUD Exchange Rates
The Pound Sterling to Australian Dollar (GBP/AUD) exchange rate was trending in the region of 2.0749 and the Australian Dollar to Pound Sterling (AUD/GBP) exchange rate was trending in the region of 0.4822 today.
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