The New Zealand Dollar (NZD) extended gains on the Australian dollar (AUD) this week, the cross reaching 0.9335 (1.0710) before settling around 0.9260 (1.0800) into Friday. The highest level since late March 2022 as the kiwi rally continues from the 0.8710 (1.1480) reversal late September. RBA’s Lowe said he was by no means done with tightening policy and the path is not predetermined but data driven. The RBNZ hiked rates 75 points to 4.25% as predicted, Orr saying inflation needs to return to the 1-3% band, cost of living is far too high, and employment is beyond the maximum sustainable level. Looking ahead, next week’s data looks thin, we expect the kiwi to remain well supported for a while.
The current interbank midrate is: NZDAUD 0.9248 AUDNZD 1.0803
The interbank range this week has been: NZDAUD 0.9216- 0.9336 AUDNZD 1.0711- 1.0850