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Westpac Assess The Risk-On Vs. Yield Trade Off

KIWI

Westpac note that "risk sentiment is expected to remain firm into year-end, supported by unprecedented global central bank and government stimulus. In addition, NZ's economy is expected to outperform the US', and NZ commodity prices are resilient. Partly offsetting these positive effects is a declining yield spread which has further to run. The net effect should lift NZD/USD to $0.67 during the next few months."

MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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