Questionable global demand for net exporting countries is hurting the currency value for many net exporting countries such as New Zealand, driving the GBP/NZD pairing further into the 1.80’s.
Confidence is lower. This is being driven by expectations of lower demand for foreign goods in the world’s two largest economies. Chinese data overnight has been underwhelming once more, and heightened US production and Trump’s focus on ‘make American, buy American’ is driving commodity prices to new lows.
Oil for example has recorded losses in 6 consecutive trading sessions, which is why the likes of the New Zealand Dollar has cheapened alongside the Australian Dollar and the Canadian Dollar.
Frankly, anyone with a New Zealand Dollar selling requirement is losing on two fronts, as the long-term uncertainty for global demand means the spotlight on the UK’s economic future is losing some attention. The Brexit and its processes are no longer being seen in such a daunting light, and, as such, the Pound has be strengthening against most of its major currency pairings.
Of course this means that vice-versa applies, unless we see a sudden turnaround in fortunes, GBP/NZD exchange rates should continue to improve.
If you are planning to make a currency exchange involving the Pound and the New Zealand Dollar, it’s well worth your time getting in contact with me on [email protected] in order to ensure you make a well informed decision on when to make that particular transfer, as well as benefiting from highly competitive exchange rates from one of the UK’s leading foreign currency brokerages. Just provide me with a basic outline of your currency requirement and I will be back in touch with you as soon as possible.
I have never had an issue beating the rates of exchange on offer elsewhere, so a brief conversation could save you thousands on a prospective transfer.