Currency News: NZ Dollar Hits High Against The GBP

Currency News

Currency News

The New Zealand dollar reached a six-month high against the GBP as investors leave out expectations for a hike in UK interest rates.

The NZ Dollar touched 46.06 British pence and was trading at 45.98 pence at 8 am in Wellington, from 45.83 pence at 5 pm on Monday. The local currency was little changed at 68.42 US cents.

The pound has fallen because investors are leaving out the possibility  the Bank of England (BoE) to make the hike in interest rates in the near future.

“It’s a continuation of the trend throughout December of a weakening pound and a strengthening kiwi. The pound has had a terrible time through the whole of December, investors have been dumping pounds in their droves,” said OMF’s Kevin Morgan.

“As the market now feels more secure that the RBNZ are probably done with cuts for the time being, the kiwi has come back into favour.

“One of the notable features has been against the pound which has weakened considerably as UK data has deteriorated and the market is trying to second guess if and when the UK central bank will ever raise rates.”

The NZ dollar went up to 94.35 Australian cents from 94.06 cents and gained to 4.4385 yuan from 4.4314 yuan. There was almost no change at 82.34 yen from 82.35 yen and at 62.36 euro cents from 62.32 cents.

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