This New Zealand Dollar report will examine the factors that could affect exchange rates this week in order to help you stay informed if you need to make a currency transfer. The table below shows the difference you would have received when buying £200,000 at the high compared to the low for the past 30 days.
|Currency Pair||% Change||Difference on £200,000|
After a very difficult period recently for the New Zealand Dollar we have seen the currency strengthen against the Pound for the first time in the last few weeks.
Tonight brings with it the latest interest rate decision for New Zealand and the expectation is for them to be kept on hold at 1.75%. The currency has been rather unsettled for the last few weeks owing to the hung parliament which took over a month to get organised.
GBPNZD rates are trading either side of 1.90 at the moment and the question is whether or not we could see 2 before the end of the year.
Based on recent trends it is not out of the question but the real issue is whether the Pound can maintain its strength against the NZD. Both Australia and New Zealand have been rather cautious in their monetary policy and therefore this is why I fully expect interest rates to remain on hold later on tonight.
The new Prime Minister Jacinta Ardern has been quoted as saying she’s not too concerned with having a weak NZD as this could potentially be good news for New Zealand exporters.
Tomorrow morning brings with it the latest set of Chinese inflation data for both month on month and year on year. Generally speaking whatever happens in China has a big impact on the value of the New Zealand Dollar so make sure you’re well prepared for any movement overnight.
We end the week with Money Supply in China and I think we could see weakness from China which could see GBPNZD exchange rates move in an upwards direction so if you’re looking to buy New Zealand Dollars with Pounds then keep a close eye on the announcement.
Owing to the time difference between here and New Zealand even though you may not be able to speak with your account manager outside of trading hours it may be worth looking at utilising a Limit Order which allows you to set a pre-determined rate which is automatically triggered if we are able to buy at your desired rate.
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