Pound Surges Against Aussie as Commodity Prices Weigh on Resource-Linked Currency

The Pound to Australian Dollar exchange rate has strengthened, reaching a five-day high of AU$1.9229 on Monday.

This is despite stronger domestic inflation data in Australia, which exceeded expectations with a 1.0% increase in July, rebounding from a 0.4% decline in June.

However, falling commodity prices weighed heavily on the resource-linked Australian Dollar, overshadowing the inflation reading and putting pressure on the currency.

The Pound (GBP) outperformed the 'Aussie' but traded with a mixed tone elsewhere as investors digested the latest UK manufacturing data.