Australian travellers are being urged to avoid exchange rate uncertainty and possible exchange rate volatility by considering their currency needs ahead of the US Federal Election which is happening overnight.
Dion Jensen, General Manager of Travel Money Oz said, “We’ve seen a mix of speculation amongst economic forecasters around possible outcomes. Some forecasters see downsides of a Trump win on the Australian stock market and the value of the Aussie dollar, as well as speculation about possible “relief rallies” on US markets around a Clinton victory.”
“US currency has long been viewed as an investor safe haven and whilst the Aussie to US dollar exchange rate has been relatively stable up to now, we are warning customers the likelihood of volatility is high under the scenario that this is a closer race than expected, and also that it’s possible a victor may not apparent for some time.
“Markets can react quickly to uncertainty and political surprises.”
A change in exchange rates, and in particular the AUD-USD exchange rate can have a real impact on overseas spending money, which Travel Money Oz, Australia’s largest specialist foreign currency retailer advises is often a last minute purchase consideration by travellers.
Travel Money Oz advises Australians travelling soon, and especially to the US over the next couple of months, to review their currency needs and individual situations and decide whether they should lock in their exchange rate now.
“We know that the Brexit vote impacted immediately on international currency markets, with British Pound notes in short supply in our stores as travellers rushed to buy the currency,” Mr Jensen said.
As the Brexit decision unfolded the Pound slumped against the Australian Dollar with travellers rushing to the Travel Money Oz website en masse and customers queuing in-store.
Travel Money Oz advises customers that their rates are guaranteed for advance orders in-store or online. A prepaid travel money card can have exchange rates locked in on up to 10 different currencies.
“A solution may be to use our Key to the World Currency Card and lock in your rate and load it with US dollars to use later,” Mr Jensen said.
“We also don’t charge fees or commissions on foreign cash transactions in store and online.”