The NZD/USD currency pair showed a dynamic movement after the announcement of the Reserve Bank of New Zealand official cash rate. Following the report, the New Zealand Dollar rose against the Greenback by 12 points to reach the 0.7364 mark. The Central Bank stated that it kept the key interest rate unchanged at 1.75%, in line with forecasts, and would keep its monetary policy accommodative for a substantial period of time. In addition, policymakers noted that the GDP increase fell short of expectations in the Q1, though the future improvement remained in consideration. Moreover, the bank urged that the weaker Kiwi would be needed to support an increase in inflation and contribute to more balanced expansion.
