Prices in the British Pound (GBP), New Zealand Dollar (NZD) moved off 0.4680 (2.1360) Tuesday towards 0.4700 (2.1280) before NZ GDP released pushing the kiwi to 0.4725 (2.1170) into late Thursday. NZ GDP wasn’t as bad as markets were expecting at -0.2% instead of forecast -0.4% putting pressure on the Pound. Last nights Bank of England (BoE) cash rate announcement was reasonably predictable with no change form 5.00%, members voting 8-1 in favour of a “remain” and slightly more hawkish than predicted. Bailey said they will need to be careful not to rush into easing, however the BoE are expected to cut again in November and December. The RBNZ are expected to cut in October and November.
The current interbank midrate is: NZDGBP 0.4695 GBPNZD 2.1299
The interbank range this week has been: NZDGBP 0.4681- 0.4725 GBPNZD 2.1161- 2.1360