GBP to NZD Exchange Rate Forecast – Holding Steady after Card Spending Stats
The Pound Sterling to New Zealand Dollar (GBP/NZD) exchange rate was static on Monday as New Zealand’s Credit Card spending figures and the UK’s Lloyds Business Confidence Index caused little reaction among investors.
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The GBP to NZD exchange rate was trading in the region of 1.9822, moving between a high of 1.9846 and a low of 1.9792.
Overnight New Zealand published its Retail Card Spending stats for July.
The data showed that spending stagnated in July on a month-on-month basis.
This followed the stagnation recorded in June and was less than the 0.5% increase economists had anticipated.
Total card spending fell by -0.1% on the month following June’s 0.5% increase.
In the view of industry expert Neil Kelly; ‘Spending rose in three retail industries and fell in three during July. Durables and consumables had the largest rises, while both vehicle-related industries fell.’
The report had no notable impact on the New Zealand Dollar but the commodity-driven currency managed to hold its own against peers like the US Dollar in spite of widespread risk aversion.
As commented by senior forex strategist Sam Tuck; ‘The Kiwi seems to be somewhat immune to risk aversion. It points to the long-term yield advantage of New Zealand.’
During the European session the UK’s Lloyd’s Employment Confidence index (which bounced from 1 to 6) failed to budge the Pound Sterling to New Zealand Dollar (GBP/NZD) exchange rate.
Pound Sterling to New Zealand Dollar Weekly Forecast
Over the next five days data with the potential to move the Pound Sterling to New Zealand Dollar (GBP/NZD) exchange rate includes New Zealand’s REINZ House Price Index, New Zealand’s Business NZ Performance of Manufacturing Index and Retail Sales ex-Inflation figure.
UK data could also have an influence on the Pound Sterling to New Zealand Dollar exchange rate this week. UK reports to be aware of include the British Retail Consortium’s like-for-like sales figures, the UK’s employment change, unemployment rate and weekly earnings data, the Bank of England’s inflation report, the RICS House Price Balance figure and GDP figures for the second quarter. Quarter-on-quarter growth of 0.8% has been forecast, anything less than this could cause Pound weakness.
The Pound Sterling to New Zealand Dollar (GBP/NZD) exchange rate is currently trending in the region of 1.9817, unchanged from the day’s opening levels.