The pound Australian dollar exchange rate is 1.460% lower with 1 GBP = 1.5255 AUD.
The pound New Zealand dollar exchange rate is 1.195% lower with 1 GBP = 1.9610 NZD.
"The Australian dollar continues to recoup ground against a vulnerable-looking pound, ahead of the RBA’s minutes," says foreign exchange rate dealer Richard Driver at CaxtonFx.
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Last week saw some encouraging data from China and the US increase appetite for the Australian dollar, as well as developments in the eurozone.
Chinese GDP is announced in the coming overnight session; a slowdown is expected, which could weigh on the aussie slightly. The Reserve Bank of Australia’s meeting minutes are also released this evening. Interest rate cut concerns have been put on the back-burner for now, but the market will be looking for further clarity on this issue.
Meanwhile, the New Zealand dollar is trading very strongly as market sentiment continues to improve.
"The improved eurozone situation is triggering a rally in riskier assets such as the kiwi dollar. News that China is willing to make huge commitments to prop up the eurozone’s debt-ridden nations is also helping. The Nikkei closed 1.50% up last night, underlining appetite for the kiwi dollar," says Richard Driver.
GBP NZD is trading well below the 2.00 mark now at 1.9650. Risk appetite looks highly likely to continue to improve today, and sterling is therefore likely to remain out of favour.