{
  "id": 5255306,
  "title": "Australian dollar hovers near 13-year high on kiwi as rate outlooks diverge",
  "url": "https://urgent.news/2026/09/03/australian-dollar-hovers-near-13-year-high-on-kiwi-as-rate-outlooks",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-03T05:32:48.000Z",
  "source": {
    "name": "The Business Times - Companies & Markets",
    "slug": "the-business-times-companies-markets",
    "url": "https://www.businesstimes.com.sg/companies-markets/banking-finance/australian-dollar-hovers-near-13-year-high-kiwi-rate-outlooks-diverge"
  },
  "original_language": "en",
  "account": "The Australian dollar edged near a 13-year high against the kiwi on Thursday (Sep 3), as traders anticipated divergent rate outlooks between the Reserve Bank of Australia (RBA) and the Reserve Bank of New Zealand (RBNZ). Despite the Aussie gaining 1% overnight to reach a 13-year peak of NZ$1.2285, it slipped 0.1% to NZ$1.2227. This was the biggest daily rise since April 2025 and was driven by sharp declines in the kiwi following a dovish rate hike from the RBNZ, which heightened expectations of a pause in policy hikes for September. The kiwi recovered slightly, climbing 0.2% to US$0.5863, after plummeting 0.7% overnight to a low of US$0.5802. Support is seen around US$0.5762. Faraz Syed, an economist at Citi, reiterated a long-standing bearish outlook on the RBNZ, estimating a terminal interest rate of 2.75% for the current cycle. Conversely, the Aussie benefited from robust economic data and a high probability of additional rate hikes from the RBA at its Sep 28-29 meeting, priced at 55%. The Aussie remained steady at US$0.7170, down 0.3% overnight, with bulls targeting the August high of US$0.7208 and potential breakout towards US$0.7280. Economists forecast the RBA will raise rates twice this year, potentially reaching a terminal rate of 4.85%. The yen surged sharply, causing markets to scrutinize the possibility of Japanese government intervention. The Aussie and kiwi depreciated 0.7% and 0.4% respectively against the yen, trading at 113.05 yen and 92.49 yen.",
  "summary": "The kiwi bounced 0.2 per cent to US$0.5863",
  "key_points": [
    "Australian dollar near 13-year high vs kiwi at NZ$1.2285",
    "RBA expected to raise rates twice this year, targeting 4.85%",
    "RBNZ's dovish rate hike fuels Aussie's 1% gain to 13-year peak"
  ],
  "editors_take": "Diverging rate outlooks between the Reserve Bank of Australia and the Reserve Bank of New Zealand are set to influence the currencies, with the Aussie likely to gain and the kiwi to lose further ground.",
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "Business Recorder",
        "title": "Australian dollar hovers near 13-year high on kiwi as rate outlooks diverge",
        "url": "https://urgent.news/2026/09/03/australian-dollar-hovers-near-13-year-high-on-kiwi-as-rate-outlooks-5261083",
        "published": "2026-09-03T06:02:07.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}