The New Zealand Dollar (NZD), British Pound (GBP) hovered around 0.5065 (1.9750) over most of the week before the Pound took control early today. The Pound rallied to 2.0270 (0.4935) , sinking through key support at 0.5000 (2.000) for the first time since February this year. Markets pushed aside poor economic data earlier in the week instead focusing on parts of the UK budget being reversed and tax cuts deferred. This includes more than 20B worth of unfunded tax cuts including corporate tax. Earlier UK GDP fell by -0.3% in the month of August after 0.1% growth in July confirming a slowing trend over the last 3 months with threats of a recession looming. Selling GBP under 0.5000 represents particularly good selling levels.
The current interbank midrate is: NZDGBP 0.4984 GBPNZD 2.0064
The interbank range this week has been: NZDGBP 0.4934- 0.5114 GBPNZD 1.9554- 2.0266