NZD/GBP should take a breather inside a 0.53-0.55 range - Westpac

Imre Speizer, Research Analyst at Westpac, suggests that after a sharp fall inspired by GBP strength following the snap election call, NZD/GBP should take a breather inside a 0.53-0.55 range.

Key Quotes

“The UK economy’s surprising strength into 2017 is likely to falter, the slowdown in 1Q GDP heightening market attention on more timely near term survey data such as this week’s PMI (3rd) as well as house prices (Halifax 5th).”

“3 months ahead: Further out, the June 8th general election and Brexit negotiations will occupy market minds. We stick with our view that NZD/GBP could rise to 0.60 by year end.”