NZD/CHF: the macro gap
On the Macro Currency Strength Meter, the New Zealand Dollar scores +20 and the Swiss Franc scores -40 — a gap of 60 points in favour of the New Zealand Dollar. The widest divergence is in interest rates, which favours the New Zealand Dollar. All else equal that gap is a fundamental tailwind for the New Zealand Dollar against the Swiss Franc — though markets may already have priced much of it in.
Strength gap
+59.6
Stronger side
NZD
Edge is
Holding steady
Scores
+20 vs -40
Factor by factor
Positive is stronger relative to the other majors, not in absolute terms. The gap column is NZD minus CHF.
| Factor | NZD | CHF | Gap |
|---|---|---|---|
| Interest Rates | +27 | -46 | +72.9 |
| Positioning | -5 | -43 | +37.5 |
| Risk Mood | +24 | -24 | +48.8 |
| Commodities | +33 | — | +33.3 |
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