NZD/USD: the macro gap
On the Macro Currency Strength Meter, the New Zealand Dollar scores +28 and the US Dollar scores +4 — a gap of 23 points in favour of the New Zealand Dollar. The widest divergence is in risk mood, which favours the New Zealand Dollar. All else equal that gap is a fundamental tailwind for the New Zealand Dollar against the US Dollar — though markets may already have priced much of it in.
Strength gap
+23.1
Stronger side
NZD
Edge is
Holding steady
Scores
+28 vs +4
Factor by factor
Positive is stronger relative to the other majors, not in absolute terms. The gap column is NZD minus USD.
| Factor | NZD | USD | Gap |
|---|---|---|---|
| Interest Rates | +26 | +2 | +24.1 |
| Growth | — | +4 | -4.2 |
| Positioning | +26 | +31 | -4.1 |
| Risk Mood | +44 | -26 | +70.2 |
| Commodities | +14 | — | +14.1 |
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