GBP/AUD Weekly Currency Update

Hi All,

As promised here’s a brief update on what’s been happening with the Australian Dollar over the last week.

The Australian Industry Group’s Construction Index slipped back under 50 showing contraction, as new orders and employment dragged on activity. Overall Job Advertisements (+5.2% m/m) continued their steady rise in November after dipping in July, however levels remain 34.2% lower than a year ago.

The NAB Business Confidence survey strengthened the improving jobs outlook as businesses were able to stay upbeat despite a tightening monetary policy environment; indeed these levels have not been seen since Q3 2003.

Finally, to cap a generally positive week of data, the Unemployment Rate (5.7%) and Employment Change (+31,200) both substantially beat market forecasts and increased the probability of another rate hike at the next RBA meeting in February.

This week Housing Starts and GDP will be watched for confirmation of a steadily improving domestic economy.

GBP/AUD Movement – High’s & Low’s of last week (07/12/09 – 11/12/09)

High: 1.8059
Low: 1.7704

A movement of: 2.01 %.

Difference on £200k

High: AUD 361,180
Low: AUD 354,080

Difference of: AUD 7,100

Whilst FX isn't the most thrilling of subjects, the sooner you begin to think about your money transfers, the more likely you are to make your money go further.

A further update will be added next week.

Regards


Jon Sermon
HiFX