Heading into the end of last week, the pro-risk New Zealand Dollar managed to appreciate against its US counterpart alongside a recovery in global benchmark indexes. The S&P 500, Nikkei 225 and MSCI Emerging Markets ETF rose as reports that the US would propose new rounds of talks with China crossed the wires, quelling some trade war concerns. Yet, New Zealand 2-year government bond yields were mostly little changed suggesting that the driver for NZD was the improvement in market mood as opposed to bets on the RBNZ rate outlook. Keep in mind that in August the central bank left rates unchanged and said that the next ... (full story)