The New Zealand dollar traded above $0.595, benefiting from yen selling after the Bank of Japan kept interest rates steady as widely expected. However, the Kiwi trimmed some of its intraday gains due to a rebound in the US dollar following the release of US GDP data. The US economy grew at its slowest pace in nearly two years in the first quarter, but an increase in inflation reignited speculation that the Federal Reserve might keep its restrictive stance for longer. Market attention now turns to the PCE price index report, the Fed’s preferred inflation gauge, which will be released later in the day to glean insights into the Federal Reserve's interest rate trajectory. In New Zealand, the RBNZ kept the official cash rate at 5.5% this month, emphasizing the need to keep policy restrictive for a sustained period to return inflation to its 1-3% target band. The country’s annual inflation eased to 4% in the first three months of 2024, the lowest since Q2 of 2021.
The NZDUSD decreased 0.0004 or 0.07% to 0.5953 on Friday April 26 from 0.5957 in the previous trading session. Historically, the New Zealand Dollar reached an all time high of 1.49 in October of 1973. New Zealand Dollar - data, forecasts, historical chart - was last updated on April 26 of 2024.
The NZDUSD decreased 0.0004 or 0.07% to 0.5953 on Friday April 26 from 0.5957 in the previous trading session. The New Zealand Dollar is expected to trade at 0.59 by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 0.56 in 12 months time.