NZD survived a crash. Overview for 10.06.2024

The New Zealand dollar is falling against the US dollar. The current NZDUSD exchange rate stands at 0.6102.

The Kiwi has experienced the detrimental effect of the US dollar. The Federal Reserve will hold a significant meeting this week, which is expected to provide hints about the regulator’s new actions. Additionally, a crucial consumer price index report will be released.

The NZD has previously come under pressure as its US counterpart was recovering its position. Unexpectedly strong US employment statistics for May reduced expectations that the Federal Reserve will lower the interest rate this year. The US economy created more jobs than expected last month, and annual wage growth accelerated, only emphasising the strength of the US employment sector.

Despite a local weakening of economic conditions, maintaining relatively high interest rates in New Zealand provides a steady foundation for the Kiwi dollar. The RBNZ expects to keep these interest rates unchanged until at least mid-2025.