HSBC economist Paul Bloxham in a TVNZ interview over the weekend:
SIMON Is it the new normal? Can we expect the situation to stick around for some time?
PAUL Well, we think it's going to stick around for a while, yeah, because the New Zealand economy's doing very well. In fact, we've been describing the New Zealand economy for quite some time now as a bit of a rock star. It's been outperforming almost all of the developed world over the past 18 months or so. And the Australian economy, by contrast, is not doing so well. We're at the end of a mining boom, mining investment's falling, and the economy is so-so, think the unemployment rate's been climbing. So it makes sense that the New Zealand dollar is strong relative to the Aussie dollar, and we expect that situation to persist for some time.
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