The New Zealand Dollar (NZD) extended gains on the British Pound (GBP) over the week clocking 0.4975 (2.0110) a level not seen since May earlier in the year. UK inflation slowed more than expected in November to the lowest level in two years. Coming off 4.6% in October to 3.9% the Bank of England (BoE) are most likely to consider cutting rates earlier than expected. The biggest mover on the CPI table was the fall in the cost of fuel prices with gas and fuel prices down 22% year on year to November. UK Retail Sales prints tonight for November sales and is expected to go negative. All momentum is with the kiwi leading into year-end although 0.5000 will be tough to break.
The current interbank midrate is: NZDGBP 0.4956 GBPNZD 2.0177
The interbank range this week has been: NZDGBP 0.4891- 0.4974 GBPNZD 2.0101- 2.0444