Forecasts for the New Zealand dollar change all the time, affected by news events and relative sentiment towards the New Zealand economy. This continually updated article reviews the latest forecasts from banks and FX experts as well as news and recent movements of NZD in the currency markets.
NZD in the markets
The New Zealand dollar fell against the US dollar to a 6-month low of $0.651 in mid-May after the Reserve Bank of New Zealand cut interest rates to 1.5 percent.
The kiwi was also struggling against CAD, JPY and EUR, among other currencies, and wasn’t being helped by a significant escalation in US-China trade tensions which saw speculative capital leave New Zealand for safer pastures.
NZD is also suffering due to its high correlation with the Australian dollar — a currency also likely to be pressured by an interest rate cut in the coming months.
Experts at Citibank said in April that any negative bias for NZD from monetary policy matters would likely be offset by Chinese reflation (a quarter of NZ exports go to China), creating a rangebound kiwi dollar in the coming months. Citi predicted NZD/USD 4.5 percent higher in 6-12 months’ time, at $0.68. Westpac, though, is expecting rates as they are, with its forecast being $0.65.
You can also read our full Foreign Exchange Guide to New Zealand.
NZD/USD – Historical Rates
|1 Day||+0.42%||0.6495||22 May 2019|
|1 Week||-0.2%||0.6535||16 May 2019|
|1 Month||-1.98%||0.6654||23 Apr 2019|
|6 Months||-3.86%||0.6784||24 Nov 2018|
|1 Year||-5.82%||0.6925||23 May 2018|
|5 Years||-23.7%||0.8548||24 May 2014|
|10 Years||+5.28%||0.6195||25 May 2009|
*For period to 23-May 21UTC when NZD/USD was 0.6522
NZD/AUD – Historical Rates
|1 Day||+0.11%||0.9443||22 May 2019|
|1 Week||-0.31%||0.9482||16 May 2019|
|1 Month||+0.82%||0.9376||23 Apr 2019|
|6 Months||+0.78%||0.9380||24 Nov 2018|
|1 Year||+3.28%||0.9153||23 May 2018|
|5 Years||+2.08%||0.9260||24 May 2014|
|10 Years||+19.25%||0.7927||25 May 2009|
*For period to 23-May 21UTC when NZD/AUD was 0.9453
The Australian dollar-New Zealand dollar exchange rate rose on Friday to a 10-week high as traders continue to make bets on monetary policy divergence between the RBA and RBNZ. Even higher rates are expected by teams at TD Securities and Societe Generale.
Last update: 5 Apr, 2019
Goldman Sachs is backing British MPs to soon find a way through the current political deadlock, after which a “big finish” is expected by the British pound. Meanwhile, pessimism surrounds the Australian and New Zealand dollars, both of which have fallen to multi-week lows.
Last update: 2 Apr, 2019
For much of this year, banks have been betting on further Australian dollar deprecation, but after last week’s RBNZ shocker, they have also given a thumbs down to the New Zealand dollar.
Last update: 30 Mar, 2019
The New Zealand dollar plummeted on Wednesday after the RBNZ said its next move on interest rates was likely to be a cut.
Last update: 27 Mar, 2019