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Looking Forward, Looking Back

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Looking Back: Asian markets woke up to news that as expected, the Reserve Bank of New Zealand has cut its official cash rate by 0.25% to 2.75%. With the cut widely expected and therefore largely priced into forex markets, NZD/USD had actually rallied all week into the decision. It was however the wording in the accompanying Monetary Policy Statement that did all the damage once the announcement was made official, with the Kiwi losing almost all of the week’s gains! Governor Graeme Wheeler

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