- The market has built in expectations of 90 bps worth of rate hikes from the RBNZ over 12 months
- Though the RBNZ held its benchmark rate at 2.50%, Governor Wheeler continued to feed the rate outlook
- RBNZ Governor Wheeler says the central bank is likely to hike rates in 2014
Find out what upcoming event risk can spark volatility for the FX markets with the DailyFX Economic Calendar.
Watch the recording of John Kicklighter's coverage of the FX market's reaction to the RBNZ rate decision. The New Zealand central bank is the only major policy group expected to significantly increase its benchmark rates over the coming year. Markets have priced in nearly 100 bps of hikes through next September, and Governor Wheeler only fanned the flames with significant implications for the Kiwi dollar's rally.
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