The New Zealand Dollar (NZD) has gathered pace as the week went on against the British Pound (GBP) reaching 0.5180 (1.9300) this morning up from the weekly open of 0.5000 (1.9990). The New Zealand labour market remained tight in the third quarter with the unemployment remaining at 3.3% the same as the second quarter near record lows. The labour force participation rate increased to 71.7% the highest recorded stats began back in 1986. The Bank of England members voted 9/love raising their benchmark interest rate from 2.25% to 3.0% early this morning, the largest rate rise since 1989. The Central bank admitted that the large hike will likely drive the economy into a recession which could last well over 1 year. The Bank of England governor saying, “it’s a tough road ahead”. Customers buying Pounds should consider with chances we could see “risk off” moves take shape over coming weeks.
The current interbank midrate is: NZDGBP 0.5170 GBPNZD 1.9342
The interbank range this week has been: NZDGBP 0.4999- 0.5192 GBPNZD 1.9259- 2.0004