The steady long term bear momentum in the Australian Dollar (AUD), New Zealand Dollar (NZD) has continued well into 2023 with price reaching 0.9065 (1.1030) Thursday a late October 2022 low from 0.9550 (1.0470) mid-December. Lower highs followed by lower lows have been the trend of late with recent Aussie strength stemming from a 25-point hike to the RBA interest rate taking it to 3.35%, the eighth straight monetary policy hike since May last year. Reviewed expectations of inflation see it coming off 7.8% all the way down to 4.75% this year and to around 3% by mid-2025. We may see the current momentum stall out towards 0.9000 (1.1000) but fundamentally long term we could be pricing in the high 80’s
The current interbank midrate is: NZDAUD 0.9123 AUDNZD 1.0956
The interbank range this week has been: NZDAUD 0.9067- 0.9175 AUDNZD 1.0898- 1.1029