Originally Posted by astera

Look what happened when market sentiment went south in mid-2008. Aussie Dollar went from high 90's to like 65c without as much as blinking. Lay over the same chart of the NASDAQ100 and it's a perfect match - both going into free-fall at the time.

Fast-forward to recent times and American stock indexes are at a historic high, so not exactly shaky times in terms of investor mood if new records are being set.

I would expect both to follow suit in case of any trouble. If US markets go into disarray then the AUD will be punished badly.

Originally Posted by chris955

Its what I always get shot down for saying, if you are working in a downturn/recession I doubt you see or feel the effects.

Originally Posted by chris955

We dont personally know anyone who is unemployed here or in Australia and everyone seems to be doing just fine, of course that doesnt mean many arent struggling in both countries as they clearly are. I agree though with the way things are going I wouldnt be making the move even with the exchange rate heading in the 'right' direction. It just seems as though things are catching up to the economy.

Originally Posted by verystormy

I agree, if you aren't unemployed, then a recession is meaningless. Friends in the UK don't know what the fuss is about. All have done well, best made received his biggest bonus this year he has ever had, brother in law launched a restaurant which has been booked solid for a year.

Originally Posted by OzTennis

Not an odd 'theory' at all.

I didn't say the UK doesn't produce 'anything', I'm saying it relies heavily on the export of services to help plug the Balance of Payments.

The UK in 2012 had a £106 bn deficit on visible (goods) trade. A surplus on trade of services is needed to help plug this gap but it was only £70 bn in 2012 so that's a trade gap of £36bn, twice what it was the year before.

http://www.guardian.co.uk/business/e...dismal-reading