If you are needing to trade New Zealand dollars and Sterling within the next 30 days, you should expect major volatility early next month.
The Bank of England are set to release their latest interest rate decision on the 3rd and many economists are predicting that the BoE could cut rates to 0.05%. Governor Mark Carney has been heavily scrutinized of late due to his bold statements before the referendum result, however his argument is that the UK economy is staying afloat due to the banks proactive decision making, If we see a cut expect the pound to fall further against the New Zealand dollar.
A week later the Reserve Bank of New Zealand will release their latest decision and it is widely anticipated that the RBNZ will also cut rates. Inflation levels remain low in New Zealand and are over 1% away from the target. Therefore I expect a cut and the futures market are predicting there is an 80% chance. If we see a cut the gains New Zealand dollar sellers may make from the BoE interest rate decision may diminish.
If you are buying or selling New Zealand dollars this week, month or year and I haven’t covered your currency pair I would recommend emailing me with the currency pair (NZDUSD, NZDGBP, NZDAUD) and the reason for the transfer (company goods, property purchase) and I will response with my forecast and the options available to you [email protected]. Alternatively if you would like to discuss your requirements over the phone call 01494-787478 and ask to be put through to Dayle Littlejohn.
** If you are already using a brokerage and would like to know if you are receiving the best rates possible email me with the exact figures and I will reply with our live price. This will take you a few minutes and in the past I have saved clients thousands! **