Nick11

I'm no good at all this financial wheeler dealing lot , but if the interest rate goes up in oz this week is that a good or bad thing when it comes to changing your pounds into dollars - will the rate drop or rise - we need to change some money and the rate looks a lot healthier today than it has done for a couple of weeks.
Any advice would be appreciated
Nick

bcworld

In general the bigger the difference between Aus and UK rates the more favourable exchange rate for changing pounds to dollars. However the market has probably already priced in the likely rate rise this week so dont expect to see a sudden upward change in the exchange rate. Only thing that could happen is if the RBA surprises and leaves rates steady....then I guess the rate could drop off a bit.

datamile

Agreed, the rate should be well factored in by now, there might be a slight drop when it goes up, but if it says the same then you should get a better rate as that's not what the market expects.

got 3 months till my house purchase settlement, so watching the rates ;(

datamile

Hmm, looks like the market has decided its certain and the rate is falling away.. down 2.5 cents in the last 4 hours

bcworld

Healthy manufacturing numbers from the UK may also have strengthened the pound though.