According to the expert of the largest European company Tempus, whose forecasts are considered the most reliable, the Australian dollar may pleasantly surprise market participants. The expert believes the huge potential of the currency of the Green continent, as well as impressive opportunities for economic growth throughout the Pacific region.
According to analysts, the Australian currency has an advantage against the backdrop of a protracted trade conflict between the United States and China. In the course of easing tensions between States and its termination, the Australian currency may give odds to other world currencies. According to a leading strategist from Tempus, the currency of the Green continent is oversold and will increase by 5% to 0.7400 against the US dollar by the end of this year.
Last month, experts from Bank of America also recommended buying Australian currency. According to financial institution strategists, by the end of 2019, the AUD/USD rate will rise to 0.7800.
However, some analysts have a different opinion. Shane Oliver, head of the investment strategy at AMP Capital, believes that the national currency of Australia will fall in price to 0.6000 by the end of this year. "Bears" on the Australian dollar expect a potential reduction in interest rates of the Reserve Bank of Australia.
Recall that last week was not too successful for the currency of the Green Continent. The AUD/USD rate fell to its lowest level since the beginning of 2016, reaching 0.6988. However, analysts do not lose hope, predicting the rise of the Australian dollar by the end of this year.
