Following Wednesday’s positive surprise from NZ jobs data, economists at Westpac are watching the NZD/USD pair for an upside break above 0.7225.
Key quotes
“Wednesday’s positive surprise from NZ jobs data follows a similar surprise from CPI inflation data the previous week, and leaves a picture of economic strength and shrinking capacity. Given such fundamental support for the NZD, we are watching for an upside break above 0.7225.”
“Medium-term, we retain our long-held bullish outlook, targeting 0.7500 by April (that was the peak area between 2016 and 2018).”
“Key drivers are expected to be renewed USD weakness and NZ economic growth outperformance.”
Share
