NZD/USD to fall to 0.64 or lower by end-2018 - Westpac

In its latest client note, Westpac’s analysts made downward revisions to the NZD/USD price forecast, citing strengthening US dollar and downbeat New Zealand’s fundamentals as some of the key reasons.

Key Quotes:

“The US dollar should strengthen further if the Fed hikes further this year, and that will push NZD/USD lower. 

In addition, the NZ-US interest rate advantage has been eroded, removing one of the previous attractions of the NZD. 

Further, domestic data is indicating the NZ economy is slowing. We expect NZD/USD to fall to 0.64 or lower by year end.”