Aussie dollar in freefall!
#31
Guest
Posts: n/a
Re: Aussie dollar in freefall!
Anyone care to wager some predictions for the next 3-6 months?
We are probably looking at exchange all of our money in August but could push that back to September or longer if needed. So I'm hoping things will stabilize somewhat in the upcoming months. Might be dreaming though!
We are probably looking at exchange all of our money in August but could push that back to September or longer if needed. So I'm hoping things will stabilize somewhat in the upcoming months. Might be dreaming though!
#32
Just Joined
Joined: Jan 2010
Posts: 17
Re: Aussie dollar in freefall!
Hoping to send off my skills assessment soon, which will be Au$850, so I hope it's not just a blip!
#33
Re: Aussie dollar in freefall!
For us it will be Oz versus Canadian. I think the Canadian dollar has went down a little bit against the US but nowhere near as much as AUD/US.
Earlier in the year they were predicting AUD/CAD would be close to par by the end of the year. I'm certain that won't happen now. Just hoping for something like 0.9 which seems to be about average for that pairing.
Earlier in the year they were predicting AUD/CAD would be close to par by the end of the year. I'm certain that won't happen now. Just hoping for something like 0.9 which seems to be about average for that pairing.
#34
Re: Aussie dollar in freefall!
We'll be looking to trade £ for $.... about £300K worth.
Our 4 bed Melbourne dream house on Bayside has turned into a 3 bed in Northern suburbs over the last few months & for a while, was even looking like a cardboard box under a bridge on the Princes Freeway
However, overnight we may have just about regained our 4th bedroom & with more of this might just be heading back to the seaside again
OH is talking about paying £2K to fix an option at £1:$2 which at the moment is looking like a good plan Happy days though
Our 4 bed Melbourne dream house on Bayside has turned into a 3 bed in Northern suburbs over the last few months & for a while, was even looking like a cardboard box under a bridge on the Princes Freeway
However, overnight we may have just about regained our 4th bedroom & with more of this might just be heading back to the seaside again
OH is talking about paying £2K to fix an option at £1:$2 which at the moment is looking like a good plan Happy days though
#35
BE Enthusiast
Joined: Mar 2008
Location: Camberwell/S.E London > Orpington > Mornington > heart will always be in Tullamore. Co Offaly
Posts: 403
Re: Aussie dollar in freefall!
OH is talking about paying £2K to fix an option at £1:$2 which at the moment is looking like a good plan Happy days though [/QUOTE]
pay 2k to fix an option ?
hifx and ozforex do a forward contract for free
when it reaches your set value you just pay 10% and then the rest when you settle the account
pay 2k to fix an option ?
hifx and ozforex do a forward contract for free
when it reaches your set value you just pay 10% and then the rest when you settle the account
#36
Re: Aussie dollar in freefall!
Not sure myself how excactly it works, but its kind of an insurance for want of a better phrase...basically you set a date & a price, in our case $2 to the £. It them guarantees you will get that rate on the day even if it falls back...but don't ask me how it works coz I really don't have a clue
Maybe someone can come along & enlighten me
Maybe someone can come along & enlighten me
#37
Re: Aussie dollar in freefall!
Not sure myself how excactly it works, but its kind of an insurance for want of a better phrase...basically you set a date & a price, in our case $2 to the £. It them guarantees you will get that rate on the day even if it falls back...but don't ask me how it works coz I really don't have a clue
Maybe someone can come along & enlighten me
Maybe someone can come along & enlighten me
The option is not binding, for instance if the rate available in the market were $2.1 to £ on your contract date you would just say no thanks I won't exercise my option because there is a better rate on the open market. So the bank is taking all the risk, because they would have to sell to you at £1:$2 even if the open market rate is only 1.9. You on the other hand are risk free because you don't have to exercise the option if there is a better rate on the market by the time
So they want to be compensated for that risk and that is where the £2k comes in.
FWIW, I think it is not a bad idea at all.
Last edited by Bermudashorts; May 21st 2010 at 11:13 am.
#38
Re: Aussie dollar in freefall!
Thanks for that Bermudashorts...I knew OH wouldn't do anything daft with our money, it was just that when he was telling me about it, I didn't quite follow
So on the amount we have to exchange, the £2K easily pays for itself on the deal, whereas it might not necessarily on smaller amounts
So on the amount we have to exchange, the £2K easily pays for itself on the deal, whereas it might not necessarily on smaller amounts
#39
Forum Regular
Joined: Apr 2009
Posts: 210
Re: Aussie dollar in freefall!
Actually without the Chinese Australia would be seeing the same kind of hit from the recession as the rest of the world, as its them buying what the miners are mining that's benefiting Aus. Aus as a country has a GDP smaller than the state of Florida!
#41
Re: Aussie dollar in freefall!
Australia's per capita GDP adjusted for purchasing power is now 10th in the world.
http://en.wikipedia.org/wiki/List_of...PP)_per_capita
#42
Forum Regular
Joined: Apr 2009
Posts: 210
Re: Aussie dollar in freefall!
Sorry duh on my part. I meant California. And actually to be fair I don't know how up to date that is. Here's a link of the American States mixed in with GDP's of countries around the world.
http://en.wikipedia.org/wiki/Compari...es_nominal_GDP
http://en.wikipedia.org/wiki/Compari...es_nominal_GDP
#43
Forum Regular
Joined: May 2009
Location: Brisbane
Posts: 192
Re: Aussie dollar in freefall!
I to hope the pound goes up condiderably, but remember not to hope that the economy goes downhill in oz to much. This is the country we have chosen to live, and if it gets affected to much i hope we are all in safe jobs. Converting dollars back to pounds may not make for a pretty picture. Hope, but not to much!
#44
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Thread Starter
Joined: Apr 2008
Posts: 740
Re: Aussie dollar in freefall!
I to hope the pound goes up condiderably, but remember not to hope that the economy goes downhill in oz to much. This is the country we have chosen to live, and if it gets affected to much i hope we are all in safe jobs. Converting dollars back to pounds may not make for a pretty picture. Hope, but not to much!
#45
Re: Aussie dollar in freefall!
The trick is knowing when any market is at the bottom (or the top), do anything close to that and you can make a fortune, but even the very best can only do it about 60% of the time.