The New Zealand Dollar declined -1.1% yesterday on the back of Statistics New Zealand’s release of third quarter CPI. The measure of inflation showed New Zealand consumer prices increased +0.3% in the quarter compared to an expected increase of +0.5% and showing no change from its previous release.
CPI has shown the same +0.3% rate of growth for the last three quarters in a row. For the year, CPI has increased +1.0% compared to expectations of a +1.2% increase and lower than the +1.6% annualized rate of growth for the previous quarter.
The Kiwi declined against the Japanese Yen, the Euro, Sterling and the Australian Dollar after the inflation data. Later today, the New Zealand Trade Balance is scheduled to be released, with market expectations of a -620M deficit, up from a previous deficit of -472M. The Kiwi is currently down -0.25% against the U.S. Dollar.