AUD to NZD 2023 Forecast

AUD to NZD 2023 Forecast, Analysis, and How to Invest 

The Australian and New Zealand dollars are two stable currencies due to the strength of the two countries’ economies.

But should you try these currencies as a foreign exchange pair in a short or position trading investment this year?

Are you planning a trip to NZ and looking at trading your Australian dollar for the New Zealand dollar?

ForeignXchange.com.au, your go-to forex transaction website, has all the information you can rely on for your AUD to NZD foreign exchange transactions this 2023.

To analyse the AUD to NZD pair, we look at the forecast for AUD and NZD in 2023, determinants of the exchange rate, and how to invest in Forex.

 

Forecasts of AUD to NZD Foreign Exchange Rate in 2023

Forecasts of AUD to NZD Foreign Exchange Rate in 2023

Customers looking for foreign exchange pairs with a good return on investment can try out an AUD-NZD transaction.

The last three months show a very mixed trend for AUD to NZD transactions in the Forex market.

But starting from mid-December 2022, the currency pair has been bullish and looks like it will continue this way.

In the next 12 months, we predict the AUD to NZD pair to continue the upward trend seen in recent weeks. Here’s why:

  • As of January 16, 2023, the AUD-NZD foreign exchange rate equals 1.06. It has seen an upward trend, considering it was rated at around 1.04 last December.We expect a profitable investment for long-term traders.
  • The National Australian Bank, (NAB), is one of the largest financial institutions in Australia.It forecasts that the AUD to NZD exchange rate will appreciate and stabilise at 1.10 and 1.11 throughout the year.
  • Similarly, Australia’s oldest bank Westpac predicts the AUD – NZD exchange rate to end the year at 1.11.

All You Need to Know About the AUD and NZD Currencies

Australian Dollar (AUD)

The Australian dollar (with bank code: AUD) is the Australian official currency. It’s also legal tender in the Christmas Islands, Norfolk Island, and Cocos Islands.

In addition, the Australian dollar has circulation in countries such as Nauru, Kiribati, and Tuvalu.

The Issuance and regulation of the currency and its banking system are done by the Reserve Bank of Australia.

New Zealand Dollar (NZD

)The New Zealand dollar – often called the “Kiwi” – is New Zealand’s official currency. It’s also in circulation on Niue islands, the Cook Islands, Pitcairn, and Tokelau.

The Central Bank of New Zealand, which also issues the national currency, is the Reserve Bank of New Zealand (Central Bank of New Zealand).

Analysis of the AUD-NZD Foreign Exchange Currencies 

The AUD/NZD currency pair is based on direct quotation. The Australian dollar is the base currency while the New Zealand dollar is the quote currency.

The increase in the rate of this pair implies the strengthening of the Australian dollar against the New Zealand dollar.

Currently, it takes a little more New Zealand dollar (NZD) to buy an Australian dollar (AUD). A decline in the rate of this pair indicates the strengthening of the New Zealand dollar (NZD).

The AUD-NZD exchange rate reflects how many New Zealand dollars it takes to buy an Australian dollar, which is historically stronger than the “Kiwi”.

The Currencies and Respective Countries’ Economy 

These currencies represent two very similar but different states:

  • Australia with its coal, copper, iron mines, etc., on the one hand;
  • New Zealand with tourism and the export of powdered milk.

Australia’s most important trading partners include China, Japan, and the United States.

On the other hand, New Zealand’s top trading partners are Australia, the EU, and the US.

The Australian dollar, which is also called the Aussie, is typically a commodity currency.

This is because its value is mainly influenced by the cost of mineral resources and Australian exports.

The state of the Chinese economy dramatically influences the volume of Australia’s exports and, consequently, the cost of the Australian dollar.

AUD/NZD Exchange Rate: What Is It Influenced By?

Several factors strongly influence the AUD to NZD exchange rate trend:

  • The prices of raw materials of which Australia is a major exporter.
  • The performance of agricultural and dairy exports moves New Zealand’s economy.
  • The economic policies of the respective central banks.
  • The trend of the GDP of the two countries.

How to Invest in the AUD/NZD Exchange

To convert Australian dollars to New Zealand dollars, you need a foreign exchange service like Foreign Xchange that allows you to change your local currency to your destination currency.

  1. Head over to the Buy Currency page
  2. Search and select NZD in the drop-down menu under Destination Currency Amount
  3. Input how much Australian dollar you want to exchange, and our currency converter automatically converts your destination currency amount.
  4. Finally, select Buy Currency.

Foreign Xchange has one of the best foreign exchange rates in the Australian market.

In addition, it is regulated by the Australian Transaction Reports and Analysis Centre (AUSTRAC).

Conclusions

The AUD to NZD exchange rate had some high and low moments in 2022, but now the pair looks to be gaining some values lost late in 2022.

Some analysts think the Australian Dollar NZD AUD exchange could reach 1.11 by the end of the year from its current value of 1.06.

This means the currency pair is ideal for short-term and position traders this year.

It’s also ideal for traders who just want to convert their Australian dollars to New Zealand dollars. So, hurry now and start trading on Foreign Xchange!

Risk Warning and Disclaimer: This article does not constitute personal investment advice.

Trading in derivatives, in general, involves a high level of risk and is therefore not suitable for every investor.

All financial products carry a high risk to your capital. A high risk of loss offsets profit opportunities. By trading in such financial products, you may lose some of your investment.

Before you begin trading, you should carefully consider your investment goals, financial circumstances, needs, level of experience and expertise.

If necessary, seek advice from a financial advisor.

2024-05-24T05:41:14+00:00