Australian Dollar to Advance Versus N.Z.’s, TD Securities Says

By Garfield Reynolds

April 20 (Bloomberg) -- Australia’s dollar may rise against New Zealand’s as the Reserve Bank of Australia is likely to leave interest rates unchanged next month while New Zealand policy makers will lower borrowing costs on April 30, TD Securities said today in a note to clients.

Investors may benefit by buying the Australian currency against New Zealand’s, targeting an advance to NZ$1.32, and exit the trade if it weakens to NZ$1.25, analysts led by London-based Stephen Koukoulas wrote in the note. Australia’s dollar traded at NZ$1.2676 as of 9:51 a.m. in Sydney.

To contact the reporter on this story: Garfield Reynolds in Sydney at greynolds1@bloomberg.net