New Zealand Dollar extends rebound after RBNZ rate hike, US-Iran tensions cap gains

The New Zealand Dollar extends its rebound after New Zealand's central bank delivered a rate hike.
China's June inflation data comes in slightly below expectations but fails to derail the Kiwi's advance.
Ongoing tensions between the United States and Iran support safe-haven demand and could underpin the US Dollar.

Ghiles Guezout FXStreet

NZD/USD advances on Thursday and trades around 0.5730 at the time of writing, up 0.56% on the day. The New Zealand Dollar (NZD) continues to strengthen after the Reserve Bank of New Zealand (RBNZ) delivered a more hawkish-than-expected monetary policy decision, providing ongoing support to the currency.

As widely expected, the RBNZ raised its Official Cash Rate by 25 basis points to 2.5% at its July meeting. More importantly, the central bank indicated that further withdrawal of monetary stimulus may be needed to ensure inflation returns sustainably to target. According to the RBNZ's projections, inflation is expected to peak at 3.9% in the second quarter before gradually easing back toward the 2% midpoint of the target range by mid-2027. DBS noted that the unanimous vote in favor of the rate hike marks a notable shift from May's split decision and reflects the central bank's renewed commitment to tackling inflationary pressures.

However, the latest data from China is limiting the New Zealand Dollar's upside potential. China's National Bureau of Statistics (NBS) reported that the Consumer Price Index (CPI) rose 1% YoY in June, down from 1.2% previously and below the market consensus of 1.1%. On a monthly basis, inflation fell 0.3%, a larger decline than expected, highlighting softer price pressures in New Zealand's largest trading partner.

The US Dollar (USD), meanwhile, continues to receive support from the geopolitical backdrop. Tensions between the United States (US) and Iran intensified for a second consecutive day, with both sides issuing fresh threats of escalation. The deterioration in geopolitical conditions is boosting demand for safe-haven assets and could limit NZD/USD's upside in the near term.

New Zealand Dollar Price Today

The table below shows the percentage change of New Zealand Dollar (NZD) against listed major currencies today. New Zealand Dollar was the strongest against the Canadian Dollar.

	USD	EUR	GBP	JPY	CAD	AUD	NZD	CHF
USD		-0.05%	-0.02%	-0.06%	0.07%	-0.03%	-0.59%	-0.10%
EUR	0.05%		0.03%	-0.04%	0.12%	0.04%	-0.51%	-0.04%
GBP	0.02%	-0.03%		-0.07%	0.08%	0.00%	-0.55%	-0.07%
JPY	0.06%	0.04%	0.07%		0.12%	0.07%	-0.53%	-0.03%
CAD	-0.07%	-0.12%	-0.08%	-0.12%		-0.06%	-0.63%	-0.15%
AUD	0.03%	-0.04%	-0.01%	-0.07%	0.06%		-0.56%	-0.08%
NZD	0.59%	0.51%	0.55%	0.53%	0.63%	0.56%		0.48%
CHF	0.10%	0.04%	0.07%	0.03%	0.15%	0.08%	-0.48%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the New Zealand Dollar from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent NZD (base)/USD (quote).

Author

Ghiles Guezout

FXStreet

Ghiles Guezout is a Market Analyst with a strong background in stock market investments, trading, and cryptocurrencies. He combines fundamental and technical analysis skills to identify market opportunities.

AUD/USD remains depressed 0.7000, awaits FOMC Minutes

AUD/USD struggles to capitalize on its recent recovery move and trades with a negative bias below 0.7000 in Wednesday's Asian session. Amid geopolitical uncertainty, the US Dollar attracts some dip-buyers after a fresh leg up in US bond yields, keeping the pair under pressure despite hawkish RBA expectations. All eyes now remain on the FOMC Minutes.

USD/JPY holds firm near 158.50 ahead of Fed Minutes

USD/JPY hangs close to a one-and-a-half-week high near 158.50 in the Asian session on Wednesday, with bulls now awaiting a move beyond the 200-day SMA hurdle before positioning for further gains ahead of the FOMC Minutes. Meanwhile, a fresh leg up in US bond yields revives US Dollar demand amid geopolitical uncertainties, boosting the pair amid dovish BoJ commentary.

Gold trims losses, back above $4,100

Gold now manages to regain some balance, returning to the area above the key $4,100 mark per troy ounce following the closing bell in Europe on Wednesday. The yellow metal’s sharp pullback comes in tandem with marked gains in the US Dollar and a marked bounce in US Treasury yields across the curve.

Crypto Today: Bitcoin, Ethereum and XRP fall liquidating $550M

Bitcoin’s correction follows a recent rejection due to supply around $87,200. Altcoins are generally in a correction trend, as Ethereum edges lower toward the next key support at $2,600 and Ripple extends its down leg near the $1.45 demand area.

Fed Minutes: Officials saw inflation risks worsening before September hike

All participants at the Federal Reserve's (Fed) September 15–16 meeting supported the 25-basis-point rate increase, while most judged that another hike would probably be appropriate by the end of the year. The Minutes show policymakers increasingly focused on upside inflation risks, a resilient economy and the possibility that strong AI investment could add to demand pressures.

The UK 30-year gilt just hit a 1998 high. Is that good or bad for the British Pound?

The yield on the UK's 30-year government bond, or gilt, went through 6% on October 1 for the first time since early 1998, and on Monday the Pound was at its strongest against the Euro since June 2025. The gilt market's 28-year high is mostly someone else's. Since early May, the 30-year gilt yield has risen about 0.15 of a percentage point and the US 30-year about 0.7.