littda01

Interesting indeed, because a couple months ago the same people were predicting AUD-USD parity by the end of the year :-) As the article says, the relationship is basically tracking the stock market, which is now on a rollercoaster due to Euro debt issues. Market goes down, AUD goes down, USD benefits. Market goes up, risk appetite returns, AUD goes up.

The same conditions have a smaller upward effect on the GBP because the GBP is no longer the safe haven it once was and the UK economy is expected to perform poorly over next few years.

MrCro

Everyone was on the parity bandwagon and also saying pound would be down "where it belongs" at 1.50 to the aussie.

Looks like aussie parity to the kiwi dollar will be next!!!!

I think alot of carry trade big players were banking on parity, hence the big unwind! Mind you I think that would have been a major take profit position anyway so sure it would have only touched parity briefly follwed by a major unwind in positions as people took profits.

paulry

1.77 now!

eugene43

only anouther $1.00 to go

The Genie

nice thought, but 2 dollars to pound would do me

wilf70

Will probably hit that by Sept[or end of year at latest].The carry trade is unwinding very fast--they've made their profits and are moving on to pastures new and the Oz dolar is a risk currency.Two factors in the equation are Cameron's warning speech today in Milton Keynes and the forthcoming budget.If they are honest and well received may arrive sooner or go higher.Just a couple of thoughts.

koalakim

I've given up looking! Now all my money is over, yes you can expect the pound to go higher and of course if we ever have to go back to the UK we'll be stuffed again if it goes above 1.80!

I give up!

asprilla

Do you really know what you're talking about?

Damson

When I first heard the news that Cameron was going to address the nation about how much up poo creak we are I assumed the £ would get a kicking. Not doing so badly at the moment - don't know if it's because he is flagging up how serious he is about the drastic measures (gulps) he is going to take to get things under control. He is talking in terms of it affecting everyone for generations to come. Oh bugger!

Lyx

I'm watching the £ also........ kinda hoping it stays low so my AUD pays off my UK debt easier.
yeah, its worrying, i was hoping to save for 6 months then head out to oz, looks like i may need a rethink n have to head over earlier, because it's almost guaranteed that they will cut nurse's salary..., and believe me it's bad enough as it is, anyway I'm off to cancel my sky subscription, thats another £60 a month saved.

paulry

Now that your Za-Nu Labour chums who bolloxed it up in the first place are out of the picture it might just be achievable again

Alfresco

Onward and upward.

freebo

Looking like another up day for GBPAUD. We've so far gained about 13c in a month, if the stock markets keep tanking expect the AUD to keep falling too.

eugene43

never liked labour new they would lose.

paulry