Aussie Set for Fourth Weekly Drop Against Kiwi on Rate Outlooks
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Australia’s dollar was set for a fourth weekly decline against its New Zealand counterpart as prospects for the nations’ monetary policies diverged.
Reserve Bank of Australia board member John Edwards said in an interview with the Australian Financial Review that he prefers a weaker currency. The kiwi was near a four-month high against the U.S. dollar after the Federal Reserve refrained from tapering monetary stimulus that has propped up asset prices worldwide. The Reserve Bank of New Zealand said on Sept. 12 that interest-rate increases will probably be required next year from the all-time low of 2.5 percent as inflation picks up.