Please note that this website is not intended for EU residents. If you are located in the EU and wish to open an account with an EU investment firm and protected by EU laws, you will be redirected to Huaprime EU Ltd, a company licensed and regulated by the Cyprus Securities and Exchange Commission with licence no. 426/23.
Tags: New Zealand CPI, New Zealand Inflation, NZD/USD, Rate Cut, RBNZ
New Zealand’s annual inflation rate remained steady at 2% in the fourth quarter of 2024, slightly higher than anticipated but still within the Reserve Bank of New Zealand’s target range of 1–3%. On a quarterly basis, the Consumer Price Index (CPI) rose by 0.5%, easing slightly from a 0.6% increase in the previous period.
(New Zealand CPI q/q Chart, Source: Forex Factory)
The data indicated that price pressures were largely contained, bolstering expectations for a 50-basis-point rate cut at the central bank’s February meeting.
Meanwhile, New Zealand Prime Minister Christopher Luxon announced plans to ease foreign investment regulations to attract international capital. This initiative is part of his government’s strategy to stimulate economic growth and create jobs amid a weakened economy. The country entered a recession in the third quarter of 2024, with economic activity contracting more than expected.
The policy aims to boost capital inflows across key sectors, including banking, fintech, transport, energy, and manufacturing. Luxon emphasized that his vision is to encourage more start-ups, IPOs, and innovation while ensuring New Zealand reaps the benefits of high-quality global investments.
(NZD/USD Daily Price Chart, Source: Trading View)
The overall trend for the NZD/USD currency pair remains bearish, as indicated by the lower highs and lower lows within the descending channel. However, with recent significant bullish momentum, a breakout of the current structure is possible. If the price successfully breaks through this rectangular zone, it will form a higher high and regain its bullish momentum.
Disclaimer
Comments, news, research, analysis, price, and all information contained in the article only serve as general information for readers and do not suggest any advice. Ultima Markets has taken reasonable measures to provide up-to-date information, but cannot guarantee accuracy, and may modify without notice. Ultima Markets will not be responsible for any loss incurred due to the application of the information provided.
Ultima Markets provides the foremost competitive cost and exchange environment for prevalent commodities worldwide.
Start TradingMonitoring the market on the go
Markets are susceptible to changes in supply and demand
Attractive to investors only interested in price speculation
Deep and diverse liquidity with no hidden fees
No dealing desk and no requotes
Fast execution via Equinix NY4 server