Australian Dollar | Latest Australian Dollar Exchange Rate News
Australian dollar rally could be running out of steam, British pound makes advances as Chinese economy slows
- Details
- Category: Australian Dollar
- Published on Tuesday, 14 February 2012 10:49
- Written by Will Peters
The Australian dollar could be running out of steam.
The pound Australian dollar exchange rate is 0.14% higher with GBP/AUD at 1.4719. The pound New Zealand dollar exchange rate is 01% higher at 1.8917.
"The aussie dollar has had an excellent run in the past two and a half months, we have seen GBP/AUD fall from 1.60 to lows close to 1.46. However, it is looking increasingly likely that the aussie dollar’s rally is running out of steam," says Richard Driver, an analyst with Caxton Fx.
Advertisement - Article Continues Below
News out of China will also provide weakness for the AUD.
Confirmation that the Chinese Government has instructed its banks to roll over loans to local Government combined with speculation that the Government may be about to embark on further stimulus serve as a reminder as to the difficulties faced by many Governments around the world.
They must simultaneously balance the needs of the economy, the country’s creditors and the demands of citizens.
The loans are the consequence of the massive stimulus the Chinese released in response to the global crisis.
That said, the British pound will also struggle today in light of recent inflation statistics that have shown month on month inflation for January sitting at 3.6.
This will justify views that expansionary monetary policy is not yet pushing inflation.
Expansionary monetary policy is a sterling-negative.
The British pound remains at low levels against the New Zealand dollar and won’t be helped by strong US and New Zealand retail sales figures.
"We are likely to see further robust growth in kiwi retail sales this evening, which could give NZD a minor push. The equivalent US figure will be more important however, though this release looks likely to give risk appetite a boost as well. Asian stocks also held up well last night to give the kiwi some support," says Driver.
Sterling continues to trade only marginally above 1.89 this morning and the best sterling can probably hope for is flat trading.
 |
 |
Spread The Word
Australian Dollar Latest
- Exchange rate forecasters say a return to strength for the Australian dollar is unlikely until at least June
- Australian dollar looks vulnerable in afternoon session while Currency analysts at ANZ reiterate their call for a cut in the RBA cash rate this June
- Australian dollar dips below parity on a poor morning for markets as forecasters adjust AUD outlook accordingly
- Exchange rate forecasts: Pound is 'extremely overbought' against the Australian dollar, expect a pullback say BofA
- British pound remains in an uptrend vs Australian dollar; employment data not worth trumpeting about says one analyst
- Australian dollar boosted vs sterling, US dollar and other currencies as prospect of further RBA rate cuts slim
- Foreign exchange volatility rises: Australian dollar nears parity with US dollar while sterling breaks above 1.6
Advertisement- UKForex
 |
Our Publications
Advertisement
Transferring Money to or from Australia
Foreign exchange specialists Tor FX are here to assist you with your money transfer requirements to, or from, Australia.
Ask for your quote today.
As a secure FSA regulated payment provider they have access to over 40 currency accounts and can provide same day transfers.
Latest on The Economy News
- Heavily oversold, but euro dollar exchange rate base fails to convince warns UniCredit
- Exchange rate forecasters say a return to strength for the Australian dollar is unlikely until at least June
- Euro exchange rate today: EUR holds ground despite the likelihood of a harrowing showdown over Greece's spending commitments
- FTSE 100: Aviva plc, National Grid in focus while investors start to fret over Spain and their spiking bond yields
- Looking weak: Pound to euro and pound to dollar are poorly, but one analyst says this is only temporary
- British Pound Sterling: UK currency still struggling as BoE hangover persists, meanwhile outlook for EUR remains precarious
- RBS: Bias for pound sterling to outperform euro remains, despite signs risk-off run has gone too far
- Pound to euro, pound to dollar: Key currency pairs head lower as Bank of England inflation report points to possibility of further QE
- Pound sterling fails to take heart from consensus-beating unemployment data; UK currency down vs EUR, USD and AUD
- Euro rate today: Greek exit concerns epitomised by G4S as security firm suggests return of Drachma will be a money-spinner
Exchange Rate Forecasts
Subscribe
Email Marketing Software You Can Trust
