The Pound Australian Dollar (GBP/AUD) exchange rate is plunging lower on Monday, giving up gains from the previous week. The pair trades -0.3% at 1.7646.
Fears of tighter lockdown restrictions across the UK, and particularly in London are dragging on demand for the Pound. The UK’s top medical advisor is due to give a televised speech where he will warn that the UK’s infection rate is heading in the wrong direction.
The Australian Dollar has shown resilience amid solid demand for the country’s exports such as iron ore and gold. Attention will now turn to Reserve Bank of Australia’s Deputy Governor, Guy Debelle, who is due to speak tomorrow on monetary policy and the economy.