Although the New Zealand Dollar declined against peers including the ‘Greenback’ after US retail sales advanced for a fourth month, the South Pacific asset was boosted during the local session by better-than-expected local data.
The New Zealand Dollar to Pound Sterling exchange rate was trading in the region of 0.5181 as of 10:05 am GMT
Figures compiled by Statistics New Zealand showed that the nation’s core retail sales (a measure excluding vehicles/fuel) surged by 2.3 per cent in the second quarter of the year – the best result since 2006.
Quarter-on-quarter, retail sales (excluding inflation) climbed by 1.7 per cent rather than the 1.5 per cent expected.
The positive result increased the odds of the Reserve Bank of New Zealand raising rates in the foreseeable future.
The NZD/GBP exchange rate hit a high of 0.5186 pence per Dollar
Traders now believe there is a 96 per cent chance of the central bank increasing rates by a minimum of a quarter of a percentage point by April.
Conversely, the likelihood of the Reserve Bank of Australia issuing a further rate cut has been increasing in response to less-than-impressive Australian economic news.
During local trading the New Zealand Dollar was able to post a notable gain against its Australian counterpart.
As noted by market strategist Imre Speizer, ‘We favour selling the Aussie-Kiwi on bounces. The Reserve Bank of New Zealand is going to start tightening in March, the Reserve Bank of Australia is cutting rates.’
However, the ‘Kiwi’ shed some of its gains after New Zealand’s Trade Minister Tim Groser asserted that Russia had temporarily banned imports of some dairy products – although it has been stated that the issue is under control.
Current New Zealand Dollar (NZD) Exchange Rates:
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The New Zealand Dollar/US Dollar Exchange Rate is currently in the region of: 0.7996 >
The New Zealand Dollar /Euro Exchange Rate is currently in the region of: 0.6023 >
The New Zealand Dollar/Pound Sterling Exchange Rate is currently in the region of: 0.5181 >
The New Zealand Dollar /Australian Dollar Exchange Rate is currently in the region of: 0.8778 >
The US Dollar/ New Zealand Dollar Exchange Rate is currently in the region of: 1.2560 >
The Pound Sterling/New Zealand Dollar Exchange Rate is currently in the region of: 1.9301 <
The Euro/ New Zealand Dollar Exchange Rate is currently in the region of: 1.6602 <
The Australian Dollar/New Zealand Dollar Exchange Rate is currently in the region of: 1.1394 <
The Canadian Dollar/New Zealand Dollar Exchange Rate is currently in the region of: 1.2157 >
(Correct as of 10:05 GMT)
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