As we suggested earlier in the week- The New Zealand Dollar (NZD) has notched up another week of declines with price reaching 0.5435 (1.8400) against the Euro (EUR). The RBNZ left the cash rate on hold at 5.50% with hawkish rhetoric suggesting they could yet hike depending on how data flows in. Also of note is the broad based “risk flow” hampering the NZD with equity markets all softening. The Eurozone grew by a modest 0.3% in the second quarter of 2023, slightly up on the first quarter’s 0.2% with Ireland making waves with their solid 3.3% the largest in the eurozone. Buy the EUR on any spike.
The current interbank midrate is: NZDEUR 0.5451 EURNZD 1.8345
The interbank range this week has been: NZDEUR 0.5435- 0.5493 EURNZD 1.8202- 1.8398