The New Zealand Dollar (NZD) has outperformed the Euro (EUR) over the week lengthening its hold from 0.5880 (1.7000) to this morning’s 0.6025 (1.6600). The Euro has done reasonably well agst the main board of currencies to be fair with slightly better Eurozone PMI data printing better than predicted but couldn’t compete with a 75-point hike and NZD surge post the RBNZ release. The Reserve Bank of New Zealand hiked their interest rate a whopping 0.75% as widely predicted, Governor Orr staunch in his interpretation of what needs to be done to bring down inflation. Taking a proactive approach earlier may have saved the economy from a pending recession. Eurozone y/y CPI estimate is Wednesday, it’s hard to not see the kiwi pushing higher into the weekly close.
The current interbank midrate is: NZDEUR 0.6013 EURNZD 1.6630
The interbank range this week has been: NZDEUR 0.5946- 0.6037 EURNZD 1.6563- 1.6817