As the New Zealand economy is expected to be strong amid the RBNZ’s tougher monetary policies and adaptive fiscal conditions on a global scale keep supporting the New Zealand Dollar.
According to the team of currency strategists working for Westpac, NZDUSD may well retrace a bit in the near future. However, the mid-term bias is bullish, i.e. the currency is expected to strengthen further.
On Friday, the NZD index reached the highest level in 5.5 years mainly due to strengthening against the Aussie and the US Dollar.
According to John Kay, the Prime Minister of New Zealand, NZDUSD is overvalued, which cannot be said about AUDNZD. He confessed that the strengthening of the national currency keeps pressing the export-oriented New Zealand economy.
Forex.
The chart below, courtesy of , reflects the current state of affairs in the market of NZDUSD:
