Reserve bank of Australia did raise their interest rate levels this morning. Even if the monetary action was expected, we have seen AUD making moves against its peers, with GBP/AUD down roughly one percent. Inflation levels have ticked up since the second half of 2025, and with inflationary risk possible to continue, RBA pushed their interest rate level up to 3.85%. Higher interest rates will put pressure on households and business, with less disposable income available and should dampen inflation levels moving forward.
GBP/EUR has seen momentum after a surge in the late Monday evening session. GBP/EUR touched 5-month high yesterday and is still holding a firm position. Ahead of Thursdays central bank meetings, including both BoE (Bank of England) and ECB (European Central Bank). Expectations are that both central banks will hold rates on hold, which not coming as a surprise and with BoE more likely to lower interest rates levels over time.
US Jolts opening is released this afternoon. Records of available job openings by the end of each month. Forecasting suggesting a level of 7.1m, down slightly from its last month with a total of 7.146m. Markets still in a healthy position of buying USD, whether its from GBP or EUR even if markets has come down since its peak last Tuesday.
GBP/EUR 1.1575 GBP/USD 1.3672 GBP/AED 5.0236
GBP/AUD 1.9511 GBP/CHF 1.0633 GBP/CAD 1.8710
GBP/NZD 2.2641 EUR/USD 1.1798 GBP/ZAR 21.9060