The pound sterling to Australian dollar exchange rate is 0.57 pct in the red at 1.6975.
The Australian dollar to pound sterling is thus at 0.5891.
NB: The above quotes are wholesale market quotes, your bank will affix a discretionary spread when making a retail offer. However, an independent FX provider will guarantee to undercut your bank's offer, thus delivering more currency. Please learn more here.
NAB business confidence figures were released this morning and showed numbers trebled from 4 to a reading of 12.
"Businesses in Australia clearly feel more optimistic about the Australian economy and this should see the Aussie drive the rate at least for today," says Sasha Nugent at Caxton FX.
With more Australian data to come this week, it doesn’t seem like the AUD will be holding off for a few sessions yet.
"A move downwards is most likely today and sterling may struggle to keep the rate above 1.70," says Nugent.
No Australian interest rate rise before end of next year
How will today's data impact the Australian exchange rate and interest rate?
Dylan Eades at ANZ Research says:
"Today’s survey provides further evidence that conditions in the non-mining sectors of the economy are showing modest signs of improvement.
"The gains in capacity utilisation and business conditions suggests that the unemployment rate is unlikely to increase much further in the near term, and the Australian economy is likely to benefit further from a lower AUD (and interest rates) and a cyclical upturn in the housing market. However, mining investment will be a considerable drag on growth in 2014 and 2015, as capital expenditure on a number of large projects declines.
"As such, the RBA is likely to maintain a mild easing bias for the time being, but a lower AUD would be better than lower rates. Our view remains that interest rate rises are unlikely before late next year at the earliest.
New Zealand dollar advances on business confidence data
NZIER Business confidence last night rose to 38, and this provided the kiwi with the momentum needed in order to pare back losses in the last session.
"Little support for sterling today will keep it on the back foot at least until tomorrow, but for now the kiwi looks set to reverse sterling gains," says Nugent.