ANZ Bank commodity prices are released tomorrow morning and could result in further strength for the New Zealand dollar. There has been a general and substantiated increase in recent weeks for commodity prices which is helping the commodity currencies which includes both the New Zealand and Australian dollars. The price of oil has also seen some spikes higher also adding support for the kiwi. Any rise in commodity prices could help see the dollar rally. Those clients looking to sell New Zealand dollars could see a good short term spike.
The pound has struggled to keep gaining momentum against the New Zealand dollar after weaker manufacturing numbers released yesterday took the shine off sterling. Manufacturing has been weaker than forecast for third month running and the construction numbers released this morning were also weaker than expected. Construction is always a good one to watch as any cracks in the this sector can be the start of something much bigger and would help explain why GBP NZD is struggling to break 1.80.
For the moment GBP NZD is still riding just below 1.80 for the pair and political events in Britain over Brexit will surely continue to drive the pound. Now that Article 50 has finally been invoked the markets are paying close attention to any rhetoric from the European Union. The markets are desperately looking for clues as to how the Brexit negotiations will be taking place and whether or not any future trade deal can be discussed at the same time as the Brexit divorce bill.
If you would like further information on New Zealand dollar exchange rates or any of the major currencies and to discuss how we can assist then please feel free to contact me on 0044 1494 787 478 and ask one of the team for James. Alternatively, I can be emailed directly on [email protected]