NZD/AUD

NZD to AUD

February 18th 2022 2:00pm (NZT)

Our predictions of the Australian Dollar (AUD) run coming to an end came to fruition midweek reversing off recent lows around 0.9260 (1.0800) against the New Zealand Dollar (NZD), the Aussie losing its grip, the cross falling back to 1.0730 (0.9320) into Friday sessions. The long term trend line remains in place with a reversal signal needed at 0.9345 (1.0700) to confirm an overbought AUD and a new rally for the kiwi. Aussie employment data turned in benign with just 12,900 new jobs added to the workforce in January and the unemployment rate remaining at 4.2%. As we edge closer to next week’s 25-50 point RBNZ rate hike we may see a little more of a push from the kiwi.

Exchange Rates:
The current interbank midrate is: NZDAUD 0.9306 AUDNZD 1.0735
The interbank range this week has been: NZDAUD 0.9262- 0.9327 AUDNZD 1.0721- 1.0796

More NZD/AUD updates.

NZD/GBP

NZD to GBP

February 18th 2022, 2:00pm

UK Inflation Wednesday came in at 5.5% year on year just slightly up on the forecast of 5.4% and will most likely not be a game changer and cause the Bank of England to adjust their monetary policy plans. This is a 30 year high in January and consistent with the view that the BoE will raise rates 3 times between now and August taking the rate to 1.25%. The New Zealand Dollar (NZD) regained last week’s losses against the British Pound (GBP) retracing moves from 0.4880 (2.0480) to Friday’s 0.4920 (2.0330). The recent mood in the markets has been reflecting more calm based on fears of attacks at the Russian/Ukraine border but with more Russian troops arriving things could change quickly. We think the cross will retest recent levels at 0.4870 (2.0520) in the coming days, the early May 2020 low.

Exchange Rates:
The current interbank midrate is: NZDGBP 0.4913 GBPNZD 2.0354
The interbank range this week has been: NZDGBP 0.4880- 0.4935 GBPNZD 2.0260- 2.0488

NZD/EUR

NZD to EUR

February 18th 2022, 3:00pm

The New Zealand Dollar (NZD) extended last week’s gains against the Euro (EUR) to 1.6920 into Friday trading, in the face of solid Eurozone data highlighted by Industrial Production. Risk tone has been calm based on the Ukraine/Russian border situation allowing equity markets to click higher and allowing the NZD to hold up well. However the kiwi is very much still at the mercy of geopolitical tensions with recent reports that Russian troops are preparing an attack in the coming days possibly using chemical weapons. Next week’s RBNZ official cash rate Wednesday should reflect a 0.25% rise in the interest rate from 0.75% to 1.0% giving more attractiveness to the kiwi.

Exchange Rates:
The current interbank midrate is: NZDEUR 0.5888 EURNZD 1.6983
The interbank range this week has been: NZDEUR 0.5828- 0.5911 EURNZD 1.6917- 1.7157

NZD/JPY

NZD to JPY

November 5th 2021 2:00pm (NZT)

The New Zealand Dollar (NZD) is a little softer this week against the Japanese Yen (JPY) after risk conditions burdened the kiwi. The cross slipping to 80.80 early Friday. Dovish Fed communication despite equities soaring led to investors exciting the kiwi. NZ employment data surprised to the upside with the Unemployment Rate printing at 3.4% much lower than the 3.9% we were expecting. This kiwi bounced on the release but topside moves were short lived. It’s a wonder how such a read was possible given a large chunk of the population have been in lockdown for most of the last 3 months. Next week’s docket is reasonably thin with just Japanese Current Account printing.
Exchange Rates
The current interbank midrate is: NZDJPY 80.86
The interbank range this week has been: NZDJPY 80.62- 82.19

More NZD/JPY updates.

NZD/CAD

NZD to CAD

October 19th 2021, 3:00pm

4 weeks of losses for the New Zealand Dollar (NZD) came to a halt last week against the Canadian Dollar (CAD) snapping higher off the long term low of 0.8620 to close the week out around 0.8760. Rising covid infections locally have kept the kiwi under pressure of late. Inflation in NZ released at 2.2% q/q much higher than the 1.5% expected pushing the year on year number to 4.9% up from the June quarter of 3.3%. This will almost certainly have the RBNZ thinking over its monetary policy plans with markets rapidly starting to price in a 50 point hike at the November meeting. We expect to see the cross push higher this week.

Exchange Rates
Current Level: 0.8769
Resistance: 0.8850
Support: 0.8630
Last Weeks Range: 0.8617-8762

AUD/USD

AUD to USD

February 18th 2022, 3:00pm

The Australian Dollar (AUD) has regained its momentum after last week’s late slump, clocking 0.7220 early this morning against the US Dollar (USD). US Core Retail Sales jumped in January 3.3% after December’s -2.8% slump. Also of note US Industrial Production rebounded by 1.4% after an -0.1% dip. Both offered the greenback support, but it was the Fed who came out less hawkish acknowledging price pressures, the Fed concerned of overdoing rate hikes. Aussie job numbers were benign with the Unemployment Rate remaining at 4.2% and adding 12,900 new jobs. Tensions at the Ukraine/Russian border look to be flaring up which could send markets into a risk off mood sending flows back into the greenback.

Exchange Rates:
The current interbank midrate is: AUDUSD 0.7185
The interbank range this week has been: AUDUSD 0.7085- 0.7216

AUD/GBP

AUD to GBP

February 18th 2022 3:00pm (NZT)

With the situation at the Ukraine/ Russian border reporting scenes of harmony this has given the Australian Dollar (AUD) room to stretch the legs clawing back last week’s losses from 0.5250 (1.9050) to 0.5310 (1.8830) Thursday before dropping back into Friday trading to 0.5280 (1.8930). UK Inflation midweek released at 5.5% y/y only slightly up on the forecast of 5.4% which won’t be enough for the Bank of England to adjust their monetary policy plans. The print takes inflation to a 30 year high in January consistent with the view that the BoE will raise rates 3 times between now and August increasing the rate to 1.25%. Aussie job’s numbers added 12,900 jobs in January, a fairly flat read along with the unemployment rate unchanged at 4.2% as predicted. Downside risks remain for the AUD over the coming days.

Exchange Rates:
The current interbank midrate is: AUDGBP 0.5275 GBPAUD 1.8957
The interbank range this week has been: AUDGBP 0.5247- 0.5309 GBPAUD 1.8834- 1.9055

More AUD/GBP updates.
AUD/EUR

AUD to EUR

February 18th 2022 3:00pm (NZT)

The Euro was well supported early in the week with solid Eurozone economic data highlighted by Industrial Production, however most of the movement since Wednesday has been Aussie positive as the situation at the Ukraine/ Russia Border has been reasonably low key. The Australian Dollar (AUD coming off 0.6280 (1.5930) to clock 0.6345 (1.5760) in early Friday action. Australian jobs data reported nearly 13,000 new jobs were added in January with the unemployment rate remaining at 4.2%- the release benign and having no impact on the cross. US secretary of state Blinken overnight said Russian troops are preparing to launch an attack in the coming days. If this happens last week’s low of 0.6165 (1.6220) could be tested.

Exchange Rates:
The current interbank midrate is: AUDEUR 0.6323 EURAUD 1.5815
The interbank range this week has been: AUDEUR 0.6266- 0.6347 EURAUD 1.5754- 1.5957

More AUD/EUR updates.

AUD/JPY

AUD to JPY

November 5th 2021 3:00pm (NZT)

The Australian Dollar (AUD) tracked lower over the week against the Japanese Yen (JPY) reaching 83.90 this morning. The Aussie was undermined by the dovish RBA slant Tuesday after the central bank said they were prepared to be patient with tightening policy measures as they continue to buy government securities at 4B per week until at least February next year. Governor Lowe citing supply chain uncertainty as a massive disruption to future growth forecasting and sustainable high employment. With the cross trading below the 100 day moving average Thursday this could signal further downside moves into the close.

Exchange Rates
The current interbank midrate is: AUDJPY 84.29
The interbank range this week has been: AUDJPY 83.91- 86.05

AUD/CAD

AUD to CAD

October 19th 2021 3:00pm (NZT)

Recent data out of Canada hasn’t been pretty with Manufacturing and Wholesale Trade data disappointing, putting the Canadian Dollar (CAD) under pressure. The cross traded higher off Monday’s open to 0.9180 extending prices off last week’s low at 0.9100. Crude Oil continues to surge higher – overnight reaching 82.00 as global supply chain woes continue to affect demand. Canadian Inflation for September releases Thursday expected to be somewhere around 0.2%. The 3 week high around 0.9215 could be retested in the coming days.
Exchange Rates
Current Level: 0.9182
Resistance: 0.9230
Support: 0.9110
Last Weeks Range: 0.9100-0.9199

More AUD/CAD updates.