The Pound has remained above 1.90 against the New Zealand Dollar since the start of the week after the International Monetary Fund upgraded the global growth forecast.
They also gave a positive mention to the UK and have suggested that things could get better for the future of the UK as the US, EU and China have also been upgraded which will inevitably lead to more trade with the UK.
The optimism surrounding Brexit appears to have also helped the Pound’s prospects against a number of currencies including the USD where we have touched 1.40 earlier on this morning.
With the US shutdown having now finished we have seen the commodity based currencies including the New Zealand Dollar improve marginally but I think the strengthening of the New Zealand Dollar will still be short term.
The recent perception is that when phase 2 of the Brexit talks commence again we could see the UK moving towards a more positive resolution.
Indeed, over the weekend French President Emmanuel Macron suggested that there could be optimism over a better deal between the UK and the European Union.
Will the GBPNZD exchange rate hit 2 this year?
There are a number of factors that will affect how the GBPNZD exchange rates will move but personally speaking I think we could see the Pound improve especially if the Brexit talks start going well in March.
The Bank of England have also suggested that their next interest rate change will be upwards and although they haven’t put on a specific timeline I expect an interest rate hike to come before the end of the year.
If you have a need to make a currency transfer involving buying or selling New Zealand Dollar in the coming days, weeks or months then feel free to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency compared to your bank or another currency broker.
Even a small improvement in the exchange rates can make a big difference so feel free to to email me and you may find you could save yourself hundreds if not thousands of Pounds. You can email me (Tom Holian) on [email protected] and I will respond to you as soon as I can.