New Zealand Dollar Gains as US Dollar Rally Pauses
2026-10-14 01:50
By
Judith Sib-at
1 min. read
The New Zealand dollar edged up to $0.562 on Wednesday, after gaining 0.5% in the previous session and moving further away from a 17-month low of $0.558, as the US dollar’s advance stalled.
Investors are now awaiting US CPI data due later today, along with speeches from Federal Reserve officials, for fresh signals on the outlook for interest rates.
Despite the rebound, the kiwi remains vulnerable amid New Zealand’s sluggish economy and widening interest rate differentials with other major economies.
Although the Reserve Bank of New Zealand raised interest rates at its previous two policy meetings this year, the official cash rate remains below those of several overseas counterparts, reducing the relative appeal of New Zealand dollar-denominated assets to international investors.
Political uncertainty ahead of November’s general election also weighed on the currency.