Quote Originally Posted by winner69 View Post
NZD and AUD (v USD) valued about right at the moment according to The Economst

Ready for a dive? Of course not, Just that most read the wrong headlines,the ones they want to believe

http://www.economist.com/content/big-mac-index
Seems to be correct according to the chart below...Doesn't look overvalued to me either ...You could say it was overvalued in 2012 with the big gap between TOT and RTWI (see chart)...The only crossovers occurred during recessions....we are in a boom so the gap seems rather narrow historically-wise...maybe I could argue the NZ$ was slightly undervalued in June 2014.
Ref: Reserve Bank Bulletin June 2014 ...link is found on this page