With UK inflation rising to 9.4% mid last week the New Zealand Dollar (NZD) has been better bid against the British Pound (GBP) climbing to 0.5245 (1.9070) marking the first daily close above 0.5200 since early June. Monday moves saw a kick back from the GBP with prices reversing to 0.5200 (1.9240) into Tuesday. Broad based declines in the US Dollar should continue to support the NZD for a while as long as equity markets continue to bounce and risk flow continues. It’s a slow week for economic data for the cross with just the RBNZ Statement of Intent Friday.
Exchange Rates:
Current Level: 0.5189 (1.9271)
Resistance: 0.5235 (1.9630)
Support: 0.5095 (1.9100)
Last Weeks Range: 0.5137-0.5245 (1.9065-1.9463)