Thursday, March 23, 2006

The Kiwi $ is dropping

The $NZ has had a good run lately. It has been as high as .74 to the $US and New Zealanders have had plenty of time to take advantage of the high dollar to purchase imported products from overseas.

When I moved up here to the USA, $1 NZ purchased me 0.42 cents US. That was certainly an expensive move, but I am looking to make some of that back when the $NZ drops into the $.50's against the US.

It is good for the exporters for the dollar to go lower as NZ products become more affordable for the foreign purchasers. That in turn can create a increase in demand for NZ products overseas and the economy can benefit from that. Now is the time to try and get the NZ/US free trade agreement in place.

I predict that th NZ dollar will be worth $.56 to the $US within 6 months.

Here is a graph of the value today.

5 comments:

Craig of Melbourne said...

I couldn't agree more. Expect the dollar to drop below 0.61 in the next week.

Rob Good said...

It seems that it has already done that Craig......

stef said...

I'm so bloody happy! I've got a huge chunk of change that I've been waiting to send back home, but I think I'll wait off a little longer.

Craig of Melbourne said...

At time of comment was .615. Seems that the butt has fallen out of it. Cullen made an interesting comment on it today.

Rob Good said...

It hit 60.55 to the US yesterday.....Maybe it will go lower than 0.56?