New Zealand dollar supported by increased optimism

The New Zealand dollar hit a 5-month high against the pound this morning on improved risk appetite.

• Increased optimism over the global economic outlook saw a surge in investor risk appetite
  
• The New Zealand dollar managed to hold onto recent gains against the Australian dollar and sterling overnight as a result
  
• But further kiwi gains may be limited as concerns still linger over the health of the domestic economy
  
• Economic fundamentals still remain weak in New Zealand, with interest rates likely remain low for an extended period of time