Australian Dollar (AUD-GBP) Exchange Rate To Fluctuate Following BoE Announement
It’s going to be an interesting week ahead for the Pound to Australian Dollar exchange rate with several key events taking place that could impact the market. The most notable events will occur towards the end of the week, starting with the Bank of England announcing its interest rate decision on Thursday.
In the past two policy meetings two members of the Monetary Policy Committee have found the decision on whether to raise interest rates or not, a ‘finely balanced’ one. Therefore, this MPC meeting could see a divergence in votes and signal the UK economy is one step closer to higher borrowing costs.
Friday will be another influential day for the Pound exchange rate with the BoE releasing its next 12-month inflation expectations.
By way of data, UK manufacturing sector figures will emerge on Monday, followed by construction figures on Tuesday.
A quick foreign exchange market summary before we bring you the rest of the report:
The Pound to Australian Dollar exchange rate: GBP/AUD converts at 2.004.
The Aus Dollar to Pound exchange rate converts at 1 AUD is 0.499 GBP.
The Australian Dollar to Euro exchange rate today is converting at 0.695 AUD/EUR.
The Aus Dollar to New Zealand Dollar exchange rate: AUD/NZD conversion is 1.078.
NB: the forex rates mentioned above, revised as of 31st May 2015, are inter-bank prices that will require a margin from your bank. Foreign exchange brokers can save up to 5% on international payments in comparison to the banks. Speak to a recommended FX provider to lock in the best exchange rates.
Australian Manufacturing Data to Impact Aus to NZ Dollar (AUD/NZD) Exchange Rate Trading
The New Zealand Dollar may feel minor fluctuations from domestic data next week, but with influential ecostats in short supply, the ‘Kiwi’ exchange rate will be dependent on global developments for movement. However, there’s a whole host of Australian domestic data on the cards for next week which could cause movements in the New Zealand Dollar to Australian Dollar exchange rate.
Monday will see the release of the Australian Performance of Manufacturing Index which is likely to cause moderate market impact. However, a real market mover is likely to be China’s Manufacturing PMI which is out later on Monday.
The manufacturing figure is influential for the Australian Dollar as China is the Oceanic region’s largest trading partner. Other major influences next week will be the RBA interest rate decision, as well as the Australian GDP figures out on Tuesday and Wednesday respectively.
Greek Negotiations Continue to Drive Euro Exchange Rate Movement
Euro trading is likely to heat up next week with Greek negotiations entering the final stretch before the country runs out of money at the start of June. Monday’s going to be an interesting day for common currency exchange rate movement with the release of the German Consumer Price Index. An upbeat ecostat could help the Euro rally significantly.
Things will continue to heat up on Tuesday with more data out from Germany, this time in the form of Unemployment Rate and Unemployment Change numbers.
Later in Tuesday’s session the Eurozone Consumer Price Index is expected to cause major common currency fluctuations.
The ECB is also scheduled to announce its interest rate decision on Wednesday but is unlikely to change from the current 0.05%.
Australian Trade Balance stats will be out on Thursday.