A very volatile day has already been seen for NZD buying rates with news coming out in the UK and in New Zealand itself affecting the value of both currencies, and therefore GBP/NZD rates of exchange.
Sterling was hit severely today against all major currencies despite the best inflation figures for 13 months being released. This was because the rise in inflation was linked to similar healthier movements in the oil sector, which doesn’t signal much of an improvement for the UK economy as a whole.
Other looks into the economy also showed that demand in the tertiary industry for manufactured goods to then sell onto the retail market were continuing to fall, suggesting further poor performance for the UK retail and manufacturing sectors as 2016 progresses.
Furthermore, as the afternoon commenced some positive news for the global dairy industry, which has a very close affiliation with the value of the New Zealand Dollar. New Zealand has a huge export sector for dairy to countries such as China who enjoy distributing vast quantities of milk in powdered form.
There was a bit of a turnaround this afternoon with prices finally stopping their dramatic fall of 7.4% last December. The Kiwi has strengthened a full cent against Sterling just in the time it has taken me to write this article.
With countries like New Zealand and Australia seeming to recovery from the recent regional problems emanating from China, and the UK currently slipping in the mud of lower growth prospects and the cloud of a potential Brexit, I fully expect further falls on the exchange rates to continue.
We are still close to multi year highs for buying New Zealand Dollars, I strongly recommend that anyone hoping to secure New Zealand Dollars at a competitive rate in the short-term should contact me on 01494 787 478 and ask the reception team for Joshua to discuss a strategy for your transfer in order to maximise your New Zealand Dollar return. [email protected]