Created
: 2025.09.24
- English
- English
- What's Myforex
- Share
- Use tools
- Get information
- What's New
- Help center
- About us
- Customer support
- Terms and policies
-
-
PortfolioShare your portfolio and performance in real time -
Events & contestsEvents and contests held by retail brokers around the world
-
-
Real-time spread comparisonCompare spreads of major retail brokers in real time -
Volatility analysisVisualize volatility as a measure of daily market activity -
Swap point comparisonCompare buy and sell swap values for each broker by symbol -
Market rates & chartsCheck prices for all instruments offered by each broker -
IndicatorsProviding in-house developed indicators for MT4/MT5 -
Trading calculatorsCalculation tools for each broker to help you trade
-
-
World FX newsLatest news on forex and cryptocurrencies from around the world -
Broker informationTrading information of retail brokers worldwide -
MetaTrader4/5 user guideUser guide collection for the latest MetaTrader4/5 -
Economic calendarRelease calendar for indicators from official sources of major economies
NZD/USD dives to fresh lows below 0.5840 as the US Dollar appreciates
World FX news
Breaking news
NZD/USD dives to fresh lows below 0.5840 as the US Dollar appreciates
2025.09.24 20:37
2025.09.24 20:37
- The New Zealand Dollar resumes its bearish trend against the USD and hits fresh three-week lows at 0.5835.
- New Zealand's authorities nominated Dr Anna Brenan as the next RBNZ governor on Wednesday.
- The US Dollar appreciates after Fed's Powell warns that further rate cuts are not guaranteed.
The New Zealand Dollar is accelerating its downtrend against a firmer US Dollar, weighed by moderate risk aversion. The pair extended its reversal from Tuesday's highs, right below 0.5870, into fresh three-week lows at 0.5835 so far.
Dr Anna Brennan, Deputy Governor of the Swedish Central Bank, was nominated as the next Governor of the Reserve Bank of New Zealand earlier on Wednesday, to replace former governor Andrew Orr, who resigned unexpectedly earlier this year.
The RBNZ might cut rates further before Governor Brennan takes charge
Brennan is expected to begin her tenure on December 1. Until then, the acting governor, Christian Hawkesby, will oversee the October 8 and November 26, which are likely to deliver further interest rate cuts considering New Zealand's deteriorating economic outlook.
In the US, flash PMI failed to support the US Dollar on Tuesday, as both the services and the manufacturing sectors' activity showed softer growth in September. The US Dollar, however, drew some support from Fed Chair Jerome Powell, who warned about the upside risks to inflation and hinted at a gradual easing cycle, rather than the steep one anticipated by the markets
A somewhat sourer sentiment is driving markets on Wednesday, pushing the US Dollar moderately higher in the absence of key fundamental releases, as investors await US GDP data on Thursday and the PCE Price Index, the Fed's inflation gauge of choice.
RBNZ FAQs
The Reserve Bank of New Zealand (RBNZ) is the country's central bank. Its economic objectives are achieving and maintaining price stability - achieved when inflation, measured by the Consumer Price Index (CPI), falls within the band of between 1% and 3% - and supporting maximum sustainable employment.
The Reserve Bank of New Zealand's (RBNZ) Monetary Policy Committee (MPC) decides the appropriate level of the Official Cash Rate (OCR) according to its objectives. When inflation is above target, the bank will attempt to tame it by raising its key OCR, making it more expensive for households and businesses to borrow money and thus cooling the economy. Higher interest rates are generally positive for the New Zealand Dollar (NZD) as they lead to higher yields, making the country a more attractive place for investors. On the contrary, lower interest rates tend to weaken NZD.
Employment is important for the Reserve Bank of New Zealand (RBNZ) because a tight labor market can fuel inflation. The RBNZ's goal of "maximum sustainable employment" is defined as the highest use of labor resources that can be sustained over time without creating an acceleration in inflation. "When employment is at its maximum sustainable level, there will be low and stable inflation. However, if employment is above the maximum sustainable level for too long, it will eventually cause prices to rise more and more quickly, requiring the MPC to raise interest rates to keep inflation under control," the bank says.
In extreme situations, the Reserve Bank of New Zealand (RBNZ) can enact a monetary policy tool called Quantitative Easing. QE is the process by which the RBNZ prints local currency and uses it to buy assets - usually government or corporate bonds - from banks and other financial institutions with the aim to increase the domestic money supply and spur economic activity. QE usually results in a weaker New Zealand Dollar (NZD). QE is a last resort when simply lowering interest rates is unlikely to achieve the objectives of the central bank. The RBNZ used it during the Covid-19 pandemic.
Last updated
: 2025.09.24
Related articles
US CPI headline inflation set to rise 3.1% YoY in September
8 minutes agoGold declines as traders brace for trade talks, US CPI inflation data
29 minutes agoChina's state planner says will implement some major investment projects
30 minutes agoChinese officials say must accelerate implementation of new development paradigm
42 minutes agoAustralian Dollar remains steady following PMI data
2025.10.24 10:46PBOC sets USD/CNY reference rate at 7.0928 vs. 7.1235 previous
2025.10.24 10:23
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
Was this article helpful?
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Thank you for your feedback.
Thank you for your feedback.
Most viewed
US CPI headline inflation set to rise 3.1% YoY in September
The United States (US) Bureau of Labor Statistics (BLS) will publish the all-important Consumer Price Index (CPI) data for September on Friday at 12:30 GMT.
New
2025.10.24 12:00Gold declines as traders brace for trade talks, US CPI inflation data
Gold price (XAU/USD) edges lower below $4,150 during the Asian trading hours on Friday, pressured by the rebound in the US Dollar (USD). Traders remain cautious after a sharp sell-off over the previous sessions.
New
2025.10.24 11:39China's state planner says will implement some major investment projects
The National Development and Reform Commission of the People's Republic of China (NDRC) stated on Friday that the country's state planner will implement some major investment projects and improve the structure of government investment.
New
2025.10.24 11:38WTI falls to near $61.00, downside appears limited due supply concerns
West Texas Intermediate (WTI) Oil price depreciates after three days of gains, trading around $61.00 per barrel during the Asian hours on Friday.
New
2025.10.24 11:31Chinese officials say must accelerate implementation of new development paradigm
China's Deputy Head of the Office of Financial, Economic Affairs Commission said on Friday that the officials must accelerate implementation of new development paradigm.
New
2025.10.24 11:25Australian Dollar remains steady following PMI data
The Australian Dollar (AUD) steadies against the US Dollar (USD) after the release of the preliminary S&P Global Purchasing Managers Index (PMI) on Friday. Traders await key quarterly inflation data for Australia next week that could shape the Reserve Bank of Australia's (RBA) policy outlook.
New
2025.10.24 10:46PBOC sets USD/CNY reference rate at 7.0928 vs. 7.1235 previous
The People's Bank of China (PBOC) set the USD/CNY central rate for the trading session ahead on Friday at 7.0928 compared to the previous day's fix of 7.1235 and 7.1192 Reuters estimate.
New
2025.10.24 10:23Japan's Katayama says will consider various factors on possibility of raising financial income tax
Japanese Finance Minister Satsuki Katayama said on Friday that she needs to take into account various factors when asked about the possibility of raising financial income tax.
New
2025.10.24 10:18US Dollar Index posts modest losses below 99.00, US CPI inflation data in focus
The US Dollar Index (DXY), an index of the value of the US Dollar (USD) measured against a basket of six world currencies, trades on a negative note around 98.90 during the early Asian session on Friday. Concerns over a prolonged US federal shutdown continue to weigh on the DXY.
New
2025.10.24 10:08NZD/USD flat lines near 0.5750 ahead of US CPI inflation data, US-China trade talks
The NZD/USD pair holds steady near 0.5755 during the early Asian session on Friday. Traders brace for the delayed release of the US Consumer Price Index (CPI) inflation data for September, which is due later on Friday.
New
2025.10.24 09:17Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy
