Australian GDP rises
Australian GDP climbed 0.6% in the second quarter, double market expectations of a 0.3% rise and the biggest gain in more than a year. The figure triggered a sharp gain in currency rates for the Australian dollar, which climbed against all of its major currency partners.
The economic growth confirmed the view of Reserve Bank Governor Glenn Stevens that the Australian economy is "stronger than expected" and put the prospect of October rate rises back in the picture. The RBA opted to leave interest rates on hold in September, as they were unsure of the degree of stability in the Australian economy. Australia has been an enviable position, managing to avoid recession largely due to decisive government action and high commodity demand from China. The AUD does remain vulnerable however, to fluctuations in international risk appetite.
Currency rates for the Australian dollar are currently at USD0.8329 and GBP0.5127.
The rates quoted above are interbank rates. Client rates may vary according to the volume and timing of the trade.