Currency Exchange Rate Forecast
This morning there has been some big news from Italy where their largest bank UniCredit has reported a loss of €14bn and that they plan to cut 8,500 jobs in what is terrible news for an economy which is already on shaky footings. It is expected that there will soon be an health check of all the European banks through a number of stress tests and so UniCredit is trying to get its details in order and through this they have set aside €13.7bn to cover losses from bad loans last year. However, despite this negative news the bank is confident that they are now in a better position and that they will get a clean bill of health from the health check. Should any of the European banks struggle at the forthcoming health checks then the banking systems could be back in the spot light and it may place more pressure on the EUR. So, as this story continues to develop it will be worth monitoring especially if you have a EUR transfer to make.
New Zealand Interest Rate Decision
This evening is the latest New Zealand interest rate decision and it is expected that the Reserve Bank of New Zealand (RBNZ) will hike rates by 0.25% to 2.75% which may bring some NZD strength. However, as this is now widley expected in the market should the RBNZ not hike rates we may see some New Zealand Dollar weakness which could present some good opportunities for those clients looking to buy NZD. Either way tonights decision will be very important for any clients that need to transfer New Zealand Dollars.
If you would like to discuss your currency transfer and the different options available to you make sure you speak with one of our helpful currency brokers. You can call straight through to our trading floor for free on 0800 328 5884 or if calling from abroad call us on 0044 1494 725353 alternatively you can email me directly on firstname.lastname@example.org