The NZ dollar staged a striking bounce-back through the latter stages of Friday’s trading session, having been sold down to almost 0.8210 earlier in the night. It opens this morning around 0.8265.Friday’s late resurgence in the kiwi ostensibly owes to some airtime given to RBNZ Governor Wheeler in a weekend newspaper. Wheeler said the OCR will need to rise next year, and that the tightening cycle could be worth 200bps. This should not have been news. The RBNZ has repeatedly told us rates are going up next year and their own official forecasts have 200bps worth of tightening in them.
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