NZD/USD has seen a foray above 0.68. Economists at ANZ Bank expect the kiwi to trend up towards 0.72 by the end of the year.
RBNZ is ahead of most other central banks in its monetary policy tightening cycle
“We can’t rule out that the kiwi might jump with little warning onto the commodity (dairy) price horse, because a divergence like we’re seeing at the moment is both unusual and not typically sustained.”
“The RBNZ is generally ahead of most other central banks in its monetary policy tightening cycle so that puts upward pressure on the NZD.”
“Our forecast is for the NZD/USD to trend up from 0.68 currently to 0.72 by the end of the year.”