The English Pound (GBP) showed a little resilience midweek pushing back agst the New Zealand Dollar to 0.5180 (1.9310) before dropping on risk improvement, the pair reaching 0.5250 (1.9050) into Friday trading. This move extends the 5 week move from 0.4880 (2.050), 3rd of Feb high. Great Britain is said to phase out buying of Russian crude imports by the end of 2022 and is also considering banning natural gas as well as it disciplines Russia over the invasion of Ukraine. This equates to around 4% of imports. With Oil prices expected to rise in the region to over $240.00 per barrel this will have a massive economic shock on UK citizens with petrol prices already clocking 1.80 per litre. Massive long-term resistance on the chart is 0.5280 (1.8940) the 1 Jan 2020 high, a push past here and it’s all on. Key data next week will be in the form of NZ quarterly GDP and UK rate and monetary statement. Projections are for the bank of England to raise rates to 1.5% by the middle of 2023
Exchange Rates
The current interbank midrate is: NZDGBP 0.5244 GBPNZD 1.9069
The interbank range this week has been: NZDGBP 0.5178- 0.5253 GBPNZD 1.9036- 1.9311