The NZD is hammered

Economy Watch · Sep 18, 2025 · 4m

Kia ora,

Welcome to Friday’s Economy Watch where we follow the economic events and trends that affect Aotearoa/New Zealand.

I'm David Chaston and this is the international edition from Interest.co.nz.

And today we lead with news the New Zealand dollar has been re-rated sharply lower overnight, although to be fair only back to levels it was at in April. US benchmark interest rates are rising but the new weaker New Zealand economy is expected to drive the OCR lower than earlier expected.

But first in the US, initial jobless claims came in lower than expected at +194,500, a decrease of 10,400…