Will positive data out of New Zealand boost the chances of a RBNZ rate hike later this year?

New Zealand Dollar Under Pressure as Trade Wars Escalate

The Pound has moved higher against the New Zealand Dollar this week although this is more to do with New Zealand Dollar weakness rather than Sterling strength. The ongoing trade war stemming from China and the US is definitely one to keep an eye on at the moment and the latest developments are having a direct impact on the commodity currencies which includes the New Zealand Dollar. The EU has been dragged into this now and have specifically targeted Harley Davidson as a company...

Kiwi dollar slightly weaker as GDP fails to promote rate hike expectations…

With the Reserve Bank of New Zealand in a fairly neutral state of late as markets try to anticipate their next move, will it be higher or lower on their interest rate? Yesterday's GDP (Gross Domestic Product) data showed some positive trends with 2.7% growth as expected, and 0.5% for the QoQ (quarter on quarter) growth. Expectations for the future now provide some platform for a further hike in the much longer term but ultimately with GDP lower than the previous 2.9% and 0.6% expected,...
Will GBPNZD rise back above 2?

New Zealand dollar at the mercy of global events!

The main driver on the New Zealand dollar at present is the Trade Wars which we are seeing driver the Kiwi lower, there is currently speculation Trump may announce up to $200bn of tariffs with China. Since New Zealand is very closely tied to the Chinese economy, any signs that there could be an upset to the Chinese economy will undoubtedly weigh on the Kiwi currency. Other factors that might drive the Kiwi in the coming days is the release of New Zealand GDP (Gross...
Will the New Zealand dollar fall any further, or is the damage already done?

New Zealand Dollar boosted as AUD comes under pressure, where to next for NZD...

The New Zealand Dollar is benefiting off the back of Aussie Dollar weakness at the moment. Investors and traders have been selling the Aussie Dollar as the trade war heats up between the US and China. With Australia being an export heavy economy a trade war and slowdown to the global economy would hit the Australian economy heavily, and the financial markets are considering this which is why the currency is losing value. At the same time the trade war talks are resulting in predictions of...

Positive UK Retail Sales give the Pound a boost vs the New Zealand Dollar

The New Zealand Dollar has remained in a very tight range recently against the Pound even though there is a huge amount of news coming out from the political scene at the moment. The EU Withdrawal Bill caused a lot of furore in the House of Commons with members from the SNP walking out of the talks after one member was asked to leave following a dispute with the Speaker. UK Retail Sales came out yesterday morning a lot higher than expected and this shocked the...
Could the Pound improve against the New Zealand Dollar if US interest rates rise?

Important news to drive NZD exchange rates!

The New Zealand dollar is now at risk of losing ground further in the future as investors gear up for the US Federal Reserve to tighten further monetary policy in the future. With interest rates having been risen now to 2% in the US, the US dollar should continue to be a favourable currency for investors to hold. This will leave the NZD in the shade as investors will now get a greater return holding US dollars, rather than New Zealand dollars. The general perception...
Could the Pound hit 2 vs the New Zealand Dollar?

Will the New Zealand Dollar continue its medium term fightback?

Back in May the New Zealand Dollar came under increasing pressure, with the Kiwi hitting its weakest levels against both the Pound and the US Dollar so far this year at the time. Since then, there has been a fightback from the Kiwi as a quick look at a 2-month chart will demonstrate. Some economists are suggesting that the economy of the country has gone from outperforming on the economic stage to more of a support act. At the times of the very strong economy...

Backstop deal to impact the Pound and the New Zealand Dollar

Between them Brexit Secretary David Davis and Prime Minister Theresa May have agreed the 'customs backstop wording.' Things were getting a little heated earlier on this week with them disagreeing how the customs union would work going forward so as they are now working together this has helped the Pound reverse the losses it had made vs the New Zealand Dollar. The UK is currently set to leave the European Union by March next year and the British government is trying to get things sorted before...
Best time to buy Pounds with Canadian Dollars in 2 months

Will the Kiwi rise or fall in the coming weeks?

The New Zealand dollar has been rising as investor sentiments over the global outlook turn slightly more positive, the New Zealand dollar benefits from its status as a commodity currency paying a higher yield. With the Reserve Bank of New Zealand offering 1.75%, it remains a very attractive currency for investors to beholding. The outlook for the Kiwi is generally more positive for the currency owing to the improved global sentiments we have been witnessing lately. These include the Trade Wars not impacting markets as...
Could the Pound improve against the New Zealand Dollar if US interest rates rise?

How healthy is the New Zealand economy at the moment?

The New Zealand economy is entering a period of slow growth as the economy is past its prime according to Dominick Stephens, the chief economist at Westpac bank. The economy was at its strongest a couple of years ago and its now entering its mature phase according to the economist. The slowing economy growth can be put down to a cooling housing market and the construction sector slowing down. Population growth has also cooled which has had an impact and there are also increasing concerns...