The Pound to New Zealand Dollar (GBP/NZD) exchange rate is projected to appreciate, with analysts targeting a level of 2.1414 following a recent break above the 50-day moving average at 2.13. The Relative Strength Index (RSI) currently stands at 55, indicating positive momentum for the Pound. This shift comes in the wake of last week's U.S. jobs report and Federal Reserve speeches, which have diminished expectations for a 50 basis point rate cut, negatively impacting the New Zealand dollar (NZD) [3c4eedeb].
In the UK, the upcoming jobs report is anticipated to show an increase of 84,000 in employment, with the unemployment rate expected to hold steady at 4.1%. Additionally, average earnings are predicted to rise by 4.1%, which could further support the Pound's strength. UK GDP figures for July are also expected to reflect a modest growth of 0.2%, contributing to a favorable economic outlook for the UK [3c4eedeb].
On the other hand, no significant economic events are scheduled for New Zealand this week, which may limit the NZD's ability to respond positively to external economic pressures. As the market assesses these developments, the GBP/NZD pair is likely to remain in focus, with traders closely monitoring the implications of the UK economic data and broader market sentiment [3c4eedeb].