Westpac economists Dominick Stephens and Michael Gordon client note:

  • Says today’s data confirms the RBNZ is willing to intervene when it sees he currency “is seen as unjustified and when market conditions are ripe for a successful intervention.”
  • They say more selling over coming months would not be a surprise
  • “Market conditions are clearly ‘opportune’ given that sentiment has turned sharply against the commodity currencies and in favour of the US dollar. And the surprise statement released by the RBNZ last Thursday suggests that it still sees the NZD as unjustifiably high even after the fall in the currency to date”

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Earlier: