The Australian dollar against the US dollar exchange rate (AUDUSD) changes every second. This article shares bank forecasts to help you predict changes in the AUDUSD rate.
The 2022 Forecasts for the AUD to USD are out now
With most of 2021 out of the way, attention turns to 2022.
Now that most economists have released their predictions for the Australian dollar, head here to find out the most up to date forecasts:
2021 AUD to USD: high hopes for the Aussie
In 2021, the 'Big 4' major Australian banks raised their AUD to USD forecasts by 5-10%. They predict the Aussie to range between 77 and 85 US cents. In 2020, the AUDUSD exchange rate plummeted to 18 year lows of $0.55, only to rebound to 3 year highs.
AUDUSD Bank expert rate forecasts 2021
Source: Australian Big 4 banks aggregate data
How will the AUDUSD perform in 2021?
Why is the AUDUSD rising?
There are many reasons why the Aussie dollar has been getting stronger.
These are the most likely:
- Vaccine rollout reduces coronavirus globally despite new strains
- Australian economy bounces back
- A weaker US dollar as the US economy struggles
- China’s demand for Australian commodities grow
- Economic growth on a global scale recovers
What do bank analysts think about the AUDUSD?
- ANZ – Expect the AUDUSD exchange rate to be 75 cents by December 2021
- Westpac – Predict the AUDUSD rate to be 80 cents by December 2021
- CBA – CBA forecast the AUDUSD rate to be 78 cents by the end of 2021
- NAB – NAB’s forecast shows the AUDUSD rate around 78 cents by the end of 2021
3 Things to know about the AUDUSD
- AUD/USD tells you how many US dollars are needed to purchase one Australian dollar. This currency pair is also known as the "Aussie"
- The AUD/USD can fluctuate quickly. That’s why money exchange services offer rate alerts to help you get the best exchange rate
- Australia's economy relies heavily on raw materials exports, so the AUD/USD is heavily influenced by commodity prices
AUD bank forecast major crosses for 2021
Latest Australian Dollar to US Dollar news
There are many different influences over the local currency, increasing commodity prices appear to be the key driver of the recent rise of the Australian dollar. Prices of commodities like oil, wheat and nickel have soared recently on the back of the war in Europe. This has increased the demand for ‘commodity’ currencies like the Aussie dollar, helping it move higher against most major currencies including the US dollar, Euro and British pound. According to the Reserve Bank Australia There has been a close relationship between the terms of trade and the value of the Australian dollar over […]
The AUD to USD exchange rate rose above 75 cents for only the second time since the end of July. At 12:50pm, the CPI or inflation data was released. It showed that prices in Australia are rising faster than previously forecasted. Here are some of the key points: Consumer prices rose 0.8 per cent during the September quarter (July, August and September). Prices are 3% higher than a year earlier. The increase was largely because of fuel which increased 7.1% and rising house prices which increased 3.3%. Interest rates are one of the big drivers of Australian dollar. Right […]
In the past 12 months, the Australian dollar has been sent lower against US dollar, New Zealand dollar and the British pound. The exchange rate is also slightly down against the Japanese yen and Euro. It’s largely because of two large influences over the Australia dollar – interest rates and commodity prices. The strength or weakness of the Australian dollar exchange rate is also impacted by the value of the other currency. For example, if the US dollar gets stronger in its own right, then all other things being equal, the Australian dollar will weaken and the AUD to […]