Westpac note that "GBP is just one of many....>

FOREX: Westpac note that "GBP is just one of many currencies the AUD

outperformed thru April as global risk appetite improved. A$'s positive

correlation with equities & global growth prospects was prominent in the

GFC/afterwards & remains intact this year. The durability of the rebound in risk

appetite is the key question for AUD. Supportive factors include open-ended QE

programs by major central banks, FX swaps lines & plans by many OECD gov'ts to

loosen COVID-19 restrictions. The latter raises the prospect of a considerable

rebound in the global econ in H220. We exp. that the extended period of brutal

economic data & waves of earnings downgrades globally will weigh on risk

appetite including equities in coming weeks. Moreover, doubts over the scale of

the exp. recovery may grow. Both the RBA & BoE are pursuing very expansionary

MonPol & fiscal support is substantial, especially in Aus, where the C/A

position is much more supportive & Australia's much lower COVID-19 case count

should mean a quicker restarting of econ activity in Aus. These factors should

ensure AUD remains well above Mar lows but given our baseline view on global

risk appetite, we see AUD/GBP 0.5050/0.5100 or GBP/AUD 1.96-1.98 multi-week."