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19 May 2015
Kiwi standing out as most resilisant - BBH
FXStreet (Guatemala) - Analysts at Brown Brothers Harriman explained that the New Zealand dollar is bucking the trend today by posting gains against the US dollar.
Key Quotes:
"A slight increase in inflation expectations undermined confidence that the central bank would cut interest rates as early as next month."
"Such expectations had been fanned by official comments, concerns about the strength of the Kiwi, and the willingness to use macro-prudential measures to address the housing market (which frees up the interest rate tool to support the economy)."
"The 12-month inflation expectation rose to 1.32% from 1.11%. The 2-year expectation rose to 1.85% from 1.80%."
Key Quotes:
"A slight increase in inflation expectations undermined confidence that the central bank would cut interest rates as early as next month."
"Such expectations had been fanned by official comments, concerns about the strength of the Kiwi, and the willingness to use macro-prudential measures to address the housing market (which frees up the interest rate tool to support the economy)."
"The 12-month inflation expectation rose to 1.32% from 1.11%. The 2-year expectation rose to 1.85% from 1.80%."