RBNZ still want NZD to fall – ANZ

FXStreet (Mumbai) – The Economists at ANZ bank that the Reserve Bank of New Zealand (RBNZ) still wants the Kiwi to drop in line with commodity prices, even though it omitted statement about the level of the NZ dollar being unjustified and unsustainable.

Key Quotes

“The RBNZ’s language on the NZD was changed, with the market-sensitive words of “unjustified” and “unsustainable” not included.”

A “significant” decline was acknowledged to have occurred, and the RBNZ have pointed out that the lower NZD, along with lower interest rates, has led to an easing in monetary conditions. That is reasonably significant in our view.

The RBNZ still want the NZD to fall given the commodity price backdrop, but it appears the RBNZ’s pressing need for a sharp decline has eased.”

The Economists at ANZ bank that the Reserve Bank of New Zealand (RBNZ) still wants the Kiwi to drop in line with commodity prices, even though it omitted statement about the level of the NZ dollar being unjustified and unsustainable.

(Market News Provided by FXstreet)