During August, the New Zealand dollar depreciated further against the US dollar from 0.6266 to 0.6134. Economists at MUFG Bank expect the kiwi to recover in the next year.
NZD/USD to remain under downward pressure in the short-term
“With the Fed expected to be more active to year-end, we would expect NZD/USD to remain under downward pressure.”
“Next year, assuming NZ does not slow notably, we’d expect NZD/USD to recover as Fed tightening concludes.”