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Nz Report 2015: Population Expanding Faster Than Australia

On the other hand, the Kiwi dollar is definitely shifting nearer to parity with the Australian dollar since milk prices bounce back. New Zealand’s key commodity has recovered with Fonterra’s Global Dairy Trade price index up at $3,366 per tonne.

The Australian dollar exchanged up against the Nz dollar for $NZ1.03. The Australian currency is definitely 3 cents short from equality with its Kiwi counterpart, reports SMH.

Sam Tuck, senior currency strategist at the Australia and New Zealand Banking Group, explained the New Zealand dollar has remained “resilient” amid the loss of dairy costs. He added that the country’s economy exhibited the “elusive animal spirits” Australia didn’t have.

The Kiwi dollar is anticipated to stay at $1.03 for the rest of 2015 as the recuperating dairy price is supposed to boost New Zealand’s economy. Tuck stated the possibility of the Kiwi dollar reaching parity with the Aussie dollar has increased in light of the dairy price hike.