alkristensen

Does anyone have any idea.

If it goes up does this mean the exchange rate from uk-oz will too as its currently about 2.53?

thanks

al

datamile

No idea.. but Uk rates go up then the rate goes up, if oz goes up then the rate goes down.. i.e. the money moves towards the highest interest rates. Well thats the basics.

Inflation results were down in OZ today, to unlikely now to put up rates to curb it, but on the other side, there was only a simple majority (5:4) to rise UK rates in Jan, so doesn't look like they we rise again unless there are new figures showing inflation increasing in the UK...etc .. etc.. whatever the market will be a month ahead, and factored in the likely changes. Its only the unexpected which cause the jumps

alkristensen

thanks, donnt understand a word of that LOL

does this mean if there is an interest rate rise in the 1st week of feb in aus that the exchange rate will go down from 2.53 to 2.52 etc

and vice verse if the aus interest rate goes will it make the exchange rate go from 2.53 UP to 2.54 etc.

This is as it stands now with uk inflation asd it is this week and with no movement theoretically

thanks

al

yamahaha

If it were that simple we'd all be rich! Im not an economist but I believe theres much more going on than just interest rates that make currencies fluctuate in value....LOTS of variables. Id say take a look at the historical data and youll see that 2.53 is in fact quite a good rate to get.
I think Interest rates will remain unchanged....fuel prices have fallen back and cheap bannanas will take the pressure of the inflation figures...
Thats jsut my quess but I think its a good one!

alkristensen

Cheap bananas lol. As long as it stops a few people moaning about prices lol.

al