You've landed on our UK website.
Click here to visit our USA website.

If you are having difficulty locating the information you require, we're here to help. Just get in touch and we will do our best to assist you.

Weekly Roundup: Australian dollar tumbles in risk-off trade

currency-newsWeekly Roundup: Australian dollar tumbles in risk-off trade
The Australian dollar was placed on the defensive last week, with investors shying away from the currency as market risk appetite weakened.

This was primarily driven by aggressive Fed rate hike bets. Speculation of an oversized 100bps rate hike from the US central bank weighed heavily on markets as analysts fear a more aggressive Fed is likely to undermine global growth and increase the risks of a recession.

Adding to the pressure on the ‘Aussie’ in the latter half of the week was the publication of Australia's latest jobs data.

August's figures reported a surprise rise in unemployment and slower-than-expected employment growth, dampening expectations for the Reserve Bank of Australia’s (RBA) next interest rate decision.

The publication of the minutes from the RBA latest policy meeting at the start of this week has applied further pressure to AUD exchange rates they also dent rate hike expectations.

Later in the week we could see the Australian dollar face additional pressure if the latest domestic PMIs report private sector activity contracted this month.
Philip McHugh

Philip McHugh

Joining the corporate trading desk in 2007, Phil now over sees all of Currencies Direct’s corporate dealing activity. Having gained experience working with hundreds of businesses to optimise international payments processes and execute comprehensive risk management strategies, Phil currently works with a portfolio of corporate clients whilst managing Currencies Direct’s overall market exposure

Phil has FCA approval and has completed the Certificate in International Treasury Management (CertiTM)

Check our exchange rate

Thanks, we'll be in touch.

Check your inbox - one of our currency experts will be in touch to complete your quote.

If you want see our online exchange rates straight away, simply register online & log in.