The NZD drifted higher alongside the AUD over the past24 hours, and sits 0.3% higher against the USD at 0.8600.A combination of improved risk sentiment and a steadybid tone for the AUD helped the NZD higher. The kiwi underperformed the AUD, as investors remainbraced for a slightly less hawkish RBNZ tomorrowmorning. With the dynamics currently at play, we suspectthat the NZD would receive a mild boost should the Bankfail to incorporate the high TWI into its policy statement.
Read the full report: FX Daily
BNZ