09.02.202603:14:35UTC+00New Zealand Dollar Steady

The New Zealand dollar stabilized around $0.602, following a recovery from a two-week low observed in the previous session. This stabilization comes as investors continuously evaluate the Reserve Bank of New Zealand's (RBNZ) policy outlook. The recent data release presented mixed outcomes: unemployment reached a higher-than-expected level, marking a decade high, while employment growth surpassed expectations. These results supported the perspective that a near-term rate hike is improbable. However, with inflation still above the targeted range and signs of strengthening economic growth, the anticipation for a future policy rate increase remains. Traders currently anticipate a rate hike being more probable by October, attributing a roughly 70% probability to a move in September, despite official guidance suggesting that an initial tightening is more likely around mid-2027. Meanwhile, the RBNZ is scheduled to convene this month for its first policy decision under the leadership of Governor Anna Breman, with widespread expectations that interest rates will remain unchanged.