The speech by RBNZ Governor Orr can have a significant impact on the New Zealand Dollar (NZD) as his remarks are closely watched by investors and traders for insights into the central bank's monetary policy stance. Any hints or signals about potential changes in interest rates or other policy measures can lead to volatility in the currency market.
If Governor Orr's comments suggest a more hawkish outlook, indicating a potential interest rate hike in the near future, the NZD could strengthen as higher interest rates tend to attract foreign investment. On the other hand, if his remarks are dovish and hint at a more accommodative monetary policy, the NZD may weaken as lower interest rates can make the currency less attractive to investors.
Overall, the speech by RBNZ Governor Orr can provide valuable information for market participants to adjust their trading strategies and positions in the NZD. It is important to closely monitor his remarks and consider their implications on the currency and monetary policies of New Zealand.