AUD/NZD has been following a regular bullish trend since the end of last year. Economists at Société Générale expect the pair to reach new highs above the 1.12 top seen in 2018.

AUD/NZD to benefit from a rates differential switch

“As the RBNZ started to hike earlier than the RBA, the latter is now proving more aggressive in the catch-up, so that the rates differential is likely to switch soon in the favour of Australian rates.”

“AUD/NZD could break the 1.12 top seen in 2018 and reach new highs.”