Pound to New Zealand exchange rates are still being dominated by the political landscape within the UK. Last week was a fine example of this when investors’ fears over a hard Brexit subsided following the High Courts’ ruling that the government have to go to parliament to vote before invoking Article 50. I personally feel that Sterling’s run against the New Zealand dollar is set to continue.
The highly anticipated US election is set to dominate markets this week, and as the New Zealand Dollar is a commodity currency and perceived as many investors as high risk, funds may be taken out of the New Zealand Dollar and into safer currencies, potentially weakening the New Zealand Dollar.
The New Zealand Dollar has been flying of late, and the main reason for this is because of the well performing New Zealand Dollar economy. Last week, unemployment data dropped to the best levels since the 2008 financial crisis and whole milk powder prices rose significantly, all equating into New Zealand Dollar strength.
However this week could be a very different story and a difficult one to call. China are set to release important inflation figures and trade data. China are New Zealand’s largest trading partner and therefore if these figures signal continued growth, we could see the New Zealand Dollar strengthen marginally.
The biggest event of the week for the New Zealand Dollar will be this Wednesday’s interest rate decision and subsequent monetary policy statement. Analysts are expecting a rate cut to record lows of 1.75% in an attempt to match inflation forecasts.
No doubt this is set to be a busy and volatile week for the New Zealand Dollar, why not talk to the team here to discuss a plan that works for you, especially as there are a number of events this week that could influence your trade.
Thank you for reading my New Zealand Dollar report this morning. With further movements a possibility off the back of Wednesdays interest rate decision from the RBNZ, clients looking to buy or sell the New Zealand Dollar may benefit from discussing their requirements with our team. Call our trading floor on 01494 725 353 or email me here.
First class foreign currency provider, great rates and outstanding customer service.
Great service very professional but with a personal touch. Everything went smoothly with no fuss. Would highly recommend.
It was really refreshing to go through a process that had absolutely no hiccups at all, the service that we were offered exceeded our expectations. We would unreservedly recommend the company to anyone seeking to exchange currency.
Very efficient service. I’ve never used a service like this before & was purchasing a house in France. It was all explained very well & I was kept informed all along the process. Putting a deposit down to pre-book the rate also saved us a fortune.