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AUD/NZD STICKS TO INTRADAY GAINS AROUND 1.0800 AFTER RBNZ'S EXPECTED 25 BPS RATE CUT

Tina Collins

Tina Collins

— 1 min read
AUD/NZD STICKS TO INTRADAY GAINS AROUND 1.0800 AFTER RBNZ'S EXPECTED 25 BPS RATE CUT
AUD/NZD STICKS TO INTRADAY GAINS AROUND 1.0800 AFTER RBNZ'S EXPECTED 25 BPS RATE CUT

AUD/NZD STICKS TO INTRADAY GAINS AROUND 1.0800 AFTER RBNZ'S EXPECTED 25 BPS RATE CUT

On April 9, 2025, the Reserve Bank of New Zealand (RBNZ) reduced its official cash rate (OCR) by 25 basis points to 3.50%, marking the fifth consecutive rate cut since August 2024. ​

Following the RBNZ's announcement, the AUD/NZD currency pair regained positive traction during the Asian session on Wednesday, trading around the 1.0800 mark.​

Despite initial gains, the AUD/NZD cross struggled to capitalize on the move, remaining confined within the previous day's broader range.​

The RBNZ's rate cut aims to support New Zealand's economic recovery, which showed signs of improvement with a 0.7% expansion in the last quarter of 2024. ​

Nearly 90% of economists anticipate another 25 basis point rate cut in May 2025, with the OCR potentially reaching 3.00% by the end of September.

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