NZD/USD Forex Trading
NZD/USD Forex Trading
NZD/USD Live Charts
Use our NZD to USD live charts to get the most up-to-date insight into the recent performance of this pair and other currency pairs used in forex trading. It can help you make informed decisions at home or on the go – no matter if you use the TickTrader desktop platform, web terminal, or mobile app. Our real-time chart includes the very latest price, historical data, and technical analysis tools to help guide your next trade.
What Is NZD/USD Trading?
New Zealand dollar (NZD) / United States dollar (USD) is one of the major currency pairs traded globally and holds significance for both the economies of New Zealand and the United States.
NZD/USD forex trading refers to the buying and selling of the New Zealand dollar (also known as the “Kiwi” or “Kiwi dollar”) against the United States dollar (also known as the greenback) in the foreign exchange market. The pair’s exchange rate represents the value of one New Zealand dollar in terms of the US dollar. For example, if the rate is 0.70, it means that one New Zealand dollar is equivalent to 0.70 US dollars.
FXOpen offers competitive spreads and instant trade execution to make trading of the forex New Zealand dollar /US dollar pair attractive for you.
NZD/USD Historical Performance
The history of the pair dates back to the introduction of the New Zealand dollar as a standalone currency in 1967. Prior to that, New Zealand used the New Zealand pound, which was pegged to the British pound. However, the currency system was decimalised, and a new NZD, which was initially pegged to the US dollar, was introduced.
The rate was fixed at 1.39 USD per 1 NZD until 1985, when the New Zealand government adopted a floating rate regime, under which the “Kiwi” was allowed to fluctuate freely against other currencies, including the USD, based on market forces of supply and demand.
In the early 2000s, NZD/USD was relatively stable. New Zealand's economy performed well, driven by strong demand for its commodity exports, particularly dairy products. This led to a gradual appreciation of the “Kiwi” against the greenback.
However, the global financial crisis in 2008 had a significant impact on New Zealand’s currency. It triggered a flight to safety, with investors flocking to the US dollar as a safe haven asset. As a result, the “Kiwi” depreciated sharply against the greenback during this period.
However, starting at the beginning of 2009, the New Zealand dollar was recovering, and by July 2014, the pair surpassed the levels seen before the financial crisis. Still, it couldn’t continue its upward trend forever, and eventually, it plunged.
Traders and investors engage in Kiwi/greenback trading for various reasons. This pair offers significant liquidity and an appropriate level of volatility, making it attractive for traders looking for opportunities in the foreign exchange market.
Major Factors That Affect the NZD/USD Pair
New Zealand's economy is heavily reliant on exports, particularly in the agricultural and dairy sectors. Therefore, the performance of its domestic currency is closely tied to commodity prices, global demand, and market conditions. Additionally, factors such as the Reserve Bank of New Zealand's monetary policy decisions and economic data releases can impact the value of the “Kiwi dollar”.
On the other hand, the US dollar is considered a global reserve currency, and it plays a significant role in international trade and finance. The greenback is influenced by factors such as the policies of the Federal Reserve, economic indicators like GDP and employment data, and geopolitical developments.
Are you interested in this pair? You can start trading it with FXOpen right away!