NZDUSD to advance nicely towards 0.65 by end-2023 – Westpac

The New Zealand Dollar has been under pressure for much of this year. Economists at Westpac expect the Kiwi to regain some ground next year once investors are satisfied that global inflation is turning the corner and that the peak in interest rates is near.

NZDAUD to hold its ground at around 0.90 over the next year or two

“We think that the US Dollar’s appeal will wane only once investors are satisfied that global inflation has turned a corner, and that the peak in central bank policy rates is in sight. That could be a while away yet, with core inflation measures still on the rise in many economies. However, we do expect to see some weakening in the USD over the coming year in response to a strengthening in the Chinese economy and more confidence around Europe’s energy security. This would see the NZD rise from around 0.59 currently to 0.65 by the end of next year.”

“We expect the NZDAUD to hold its ground at around 0.90 over the next year or two.”