Sterling Moves Up While Aussie Dollar Falls

  • Jan 25, 2019 AEDT
  • Team Kalkine
Sterling Moves Up While Aussie Dollar Falls

Today (i.e., 25 January 2019) Sterling moved up to $1.31 against the US Dollar. As per the recent market news, the main reason behind this uplift was a recently published report by The Sun newspaper which says that Northern Ireland's Democratic Unionist Party (DUP) could back the Prime Minister Theresa May on her Brexit deal. Prime Minister Theresa May recently experienced a historic defeat for her Brexit deal when the majority of the British MPs voted against her deal.

At the time of her historical defeat, Ms. May had told that although the House has spoken through its vote, it does not indicate anything about what it does support. On 29 January 2018, the MPs will again vote on alternative Brexit plans, and as per The Sun Newspaper, Northern Ireland's Democratic Unionist Party could back Prime Minister Theresa May this time.  A senior DUP source told The Sun that If Ms. May fails on 29 January 2018 then, in that case, Parliament will take over and any chance of a decent Brexit will be lost. Which is why DUP has agreed to help Ms. May by voting for the Government. If the report by the “The Sun” newspaper is accurate, it is expected that the Sterling could witness further uplift.

Sterling has witnessed many ups and downs in the recent past due to the negotiation on the Brexit deal. It is expected that the Brexit will significantly affect various sectors in the UK, and it is expected that Brexit will lead to chaos in the economy of Britain.

While Sterling was moving up, the Australian dollar witnessed a fall in the morning trade and reached $0.7091 against the US dollar. As per the recent market news, the main reason behind the fall of the US dollar is the National Australia Bank’s decision of raising its variable mortgage rates.

Australian Dollar had a minimal effect from the positive Job data released recently, according to which the employment in Australia increased by more than what was expected in December and the same time the unemployment rate also fell. The number of employed persons increased by 231,000 in December 2018 as compared to November 2018. In December, the number of unemployed persons decreased by 32,000 as compared to the unemployed persons in November. As per the Australian Bureau of Statistics (ABS) the seasonally adjusted unemployment rate plunged to 5.0 percent in December 2018 while the seasonally adjusted number of persons employed increased by 21,600 persons. Further, the net movement of employed in both trend and seasonally adjusted terms is underpinned by around 300k people entering and leaving employment in the month. Despite this news, in the morning trade, the AUD fell to $0.7091 against the US dollar. Recently, the International monetary fund also downgraded the outlook for China growth. This news also had a negative impact on the Australian dollar.


Disclaimer

This website is a service of Kalkine Media Pty. Ltd. A.C.N. 629 651 672. The website has been prepared for informational purposes only and is not intended to be used as a complete source of information on any particular company. Kalkine Media does not in any way endorse or recommend individuals, products or services that may be discussed on this site. Our publications are NOT a solicitation or recommendation to buy, sell or hold. We are neither licensed nor qualified to provide investment advice.

 


Disclaimer
This website is a service of Kalkine Media Pty. Ltd. A.C.N. 629 651 672. The website has been prepared for informational purposes only and is not intended to be used as a complete source of information on any particular company. Kalkine Media does not in any way endorse or recommend individuals, products or services that may be discussed on this site. Our publications are NOT a solicitation or recommendation to buy, sell or hold. We are neither licensed nor qualified to provide investment advice.

All pictures are copyright to their respective owner(s).Kalkinemedia.com does not claim ownership of any of the pictures displayed on this website unless stated otherwise. Some of the images used on this website are taken from the web and are believed to be in public domain. We have used reasonable efforts to accredit the source (public domain/CC0 status) to where it was found and indicated it below the image.

 

There is no investor left unperturbed with the ongoing trade conflicts between US-China and the devastating bushfire in Australia.

Are you wondering if the year 2020 might not have taken the right start? Dividend stocks could be the answer to that question.

As interest rates in Australia are already at record low levels, find out which dividend stocks are viewed as the most attractive investment opportunity in the current scenario in our report.

CLICK HERE FOR YOUR FREE REPORT!
   
x
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK