The Australian dollar against the New Zealand dollar has maintained its robust momentum from recent months, with 2022 highs now within striking distance. Currency traders are responding to the Reserve Bank of Australia's statement, which has prompted investors to wager that interest rates will remain at the 3.6% level for an extended period, as inflation concerns continue to take precedence.
The AUD/NZD pair has reached 1.14, marking the first time this level has been achieved in three years.
RBA Governor Bullock emphasized the upcoming November meeting during the press conference, when quarterly CPI data will be released. This development provides Australian dollar bulls with significant maneuvering room throughout most of October.
While the Australian dollar appears somewhat overbought, its upward trajectory persists as the AUD/USD breaks through option strike levels near 0.66.