The New Zealand Dollar was riding high near to the top of the G10 league table Thursday but the Kiwi currency is now being tipped as a sell at Westpac and is also forecast to fall by Commonwealth Bank of Australia (CBA), both of whom are warning that the Antipodean unit will suffer losses next week.
The New Zealand Dollar (Kiwi) is the worst performing G10 currency versus the Pound on Wednesday, down -0.44% versus GBP, after New Zealand’s premier bank ANZ published a survey which showed business confidence at rock bottom in July.
The Pound is set to extent its nascent recovery against the Kiwi Dollar as the Reserve Bank of New Zealand (RBNZ) cuts its interest rate faster than the market expects later this year, according to analysts at Westpac, who've told corporate clients to buy the exchange rate.
The New Zealand Dollar was softer Tuesday after the Reserve Bank of New Zealand (RBNZ) was reported to be contemplating how it would implement "uncoventional" monetary policy measures such as quantitative easing, at the beginning of an important week for currency markets.
The Pound-to-New Zealand-Dollar rate was trading at around 1.8391 Monday after falling almost half a percent at the beginning of the new week, although studies of the charts suggest the exchange rate is likely to continue declining in the days ahead.
The New Zealand Dollar advanced to the top of the G10 league table Tuesday after a bounce in the official measure of inflation saw market expectations of an August interest rate cut from the Reserve Bank of New Zealand (RBNZ) ebb, although local analysts have not been swayed by the prices data.