The AUD has faced downward pressure against different currencies, impacted by factors such as safe-haven demand, economic data, risk aversion, and monetary policy outlook. This situation is not likely to improve anytime soon, which means that AUD is likely to remain weak for the time being.

AUD Currency Update over last 12 months V SGD, GBP, AED

AUD V SGD has fallen by -11% since April 2022 and has struggled to reach 0.94c over the past 6 months.

Typically the currency pairing has regularly enjoyed hovering around parity. However, the lows at the moment of 0.89c that we are currently experiencing are a far cry from the $1.05 we witnessed in August 2021.

The AUD struggled against all of the major currencies in the last week. The factors driving this downward trend include rising oil and commodity prices which seem to have put the investors into a risk-averse mode. There seems to be a rush for safe-haven currencies which is hitting the value of all risk-sensitive currencies like the AUD.

Currency Update 25th May - Send Payments

The US Dollar has been the main beneficiary of safe-haven flows this week as geopolitical tensions in Europe continue to escalate. The ongoing war in Ukraine and the resurgence of COVID-19 cases in China have made investors jittery, prompting them to seek refuge in the greenback.

The global economy is in a state of flux at the moment. Political and economic uncertainty caused by the situation in Ukraine is leading to fluctuations in the value of different currencies. The Australian dollar is no exception.