The New Zealand Dollar (NZD) underperformed over the week against the US Dollar (USD) falling briefly below 0.6000 the figure to 0.5995 recovering to 0.6050 into Friday sessions. The move lower a by-product of markets digesting global themes, Fed hawkishness and consequences of deteriorating energy markets with costs ballooning. The Fed seen to be on a path to raise rates again later this month to 3.25% , Powell saying he will continue with the tightening cycle to reduce inflation even if it increases unemployment. Next week’s NZ GDP for the second quarter will confirm in the NZ economy officially drops into a recession. Growth predictions are expected to print just above zero. The kiwi will be doing well to hold 0.6000 in the coming days.
Exchange Rate:
The current interbank midrate is: NZDUSD 0.6068
The interbank range this week has been: NZDUSD 0.5995- 0.6127