The pound to Australian dollar exchange rate is 0.208% higher on the day with 1 GBP = 1.6132 AUD. The euro to Australian dollar exchange rate is 0.235% higher with 1 EUR = 1.3865 AUD. The Australian dollar to US dollar exchange rate is 0.948% lower with 1 AUD = 0.9613 USD. The sell-off in the Australian dollar continued at the end of last week and it continues to look vulnerable. "Concerns surrounding a global economic slowdown, a Chinese slowdown and stalling eurozone debt progress are all continuing to weigh on appetite for the aussie dollar. In addition, there is a significant risk of a rate cut from the Reserve Bank of Australia in its interest rate decision in the overnight session," says a foreign exchange rate note from the analyst team at Caxton Fx. Accordingly, the pound to Australian dollar is at a six-month high of 1.61 and with UK data having beaten expectations this morning, global drivers should help take sterling higher. Looking at the New Zealand dollar we note that sterling enjoyed more gains over the kiwi dollar as well and this pair is trading at a four month high. The New Zealand dollar declined by over 10% in September. A debt downgrade hurt the kiwi last week most bets on a RBNZ rate hike will have been pared back, particularly in light of ongoing turmoil in the financial markets. Declining commodity prices are also weighing on the kiwi dollar. The GBP NZD is trading way up at 2.04 this morning and declining risk appetite should be the overriding factor to support this pair this week.

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