25 Jun 2013
Flash: GBP/AUD to remain under buying pressure near term - RBS
FXstreet.com (Barcelona) - GBP/AUD has been on an impressive run-up ever since finding a bottom just above the 1.41 handle back in late January 2013, with the rate having found further bids above 1.65 in recent trading.
Paul Robson, Senior FX Strategist at RBS, notes "The pair is now well over 2 standard deviations expensive to fair." However, as the market is now moving towards pricing in greater chances of additional RBA cuts, coupled with desire to see AUD lower by policy-makers Down-under, Robson thinks "it may be difficult for GBP/AUD to significantly narrow the gap with our measure of fair."
Robson concludes that the AUD looks poised to continue under selling pressure near term.
Paul Robson, Senior FX Strategist at RBS, notes "The pair is now well over 2 standard deviations expensive to fair." However, as the market is now moving towards pricing in greater chances of additional RBA cuts, coupled with desire to see AUD lower by policy-makers Down-under, Robson thinks "it may be difficult for GBP/AUD to significantly narrow the gap with our measure of fair."
Robson concludes that the AUD looks poised to continue under selling pressure near term.