NZD/USD: Outlook remains largely US driven - Westpac

According to Imre Speizer, Research Analyst at Westpac, the NZD/USD outlook for the next few months remains largely US driven.

Key Quotes

“Our USD-positive view means NZD/USD should extend its ragged downtrend which started in September. We target 0.6800.”

“NZ events will provide volatility along the way. Q4 inflation may surprise on the strong side, dairy prices will be watched for any further signs of slippage, while the RBNZ will maintain a steady hand and message.”

“AUD/NZD remains extremely undervalued and we expect to see 1.0750 during the next few months.”