RBNZ acting governor Grant Spencer gives an interview before his imminent handing over to Adrian Orr
- Says that RBNZ shouldn’t comment on the NZD unless there is concern
- NZD is “in the vicinity of fair value”
His exact words are:
- In my view, we should only comment on the currency if it’s really pretty clear that it’s out of alignment and you’re wanting to have some impact, some sort of jaw-boning effect
- I’m about to leave, so I can’t judge what approach Adrian will take
- But in the past we have got into this situation where we sort of had to make a statement about the currency and if we didn’t the market was going to react
- I just thought that’s not a good situation to be in
Says that RBNZ shouldn’t jawbone the kiwi, and he then does so himself. Good stuff.
NZD/USD at 0.7240 as the dollar remains weak though.