AUD/GBP: Constrained inside 0.5450 to 0.5700 range - Westpac

Sandeep Kanihama FXStreet Contributor

Sean Callow, Research Analyst at Westpac, points out that the Australian dollar is roughly in the middle of its Q2 ranges against sterling and looking forward, AUD should find support from the RBA’s optimistic outlook and broadly resilient commodity prices.

Key Quotes

“AUD is also probably already pricing in ongoing US-China trade tensions.”

“But AUD gains against the pound should be constrained by the BoE’s swing back towards planning a rate rise, at least so long as UK data holds up ahead of the 2 August MPC meeting.”

“This suggests multi-week trade is constrained inside a rough range of AUD/GBP 0.5450 (GBP/AUD 1.83) to 0.57 or 1.75.”

Author

Sandeep Kanihama

FXStreet Contributor

Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.

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