The New Zealand dollar hovered around $0.572, near a one-month high, supported by the Reserve Bank’s hawkish outlook. The central bank cut its cash rate by 25bps to 2.25% on Wednesday, the lowest since June 2022, but signalled this may be the end of its easing cycle, with updated projections implying just a 20% chance of another reduction next year. Following the decision, RBNZ officials on Thursday expressed confidence that the economic recovery is firmly underway. Governor Christian Hawkesby noted that early indicators point to economic expansion in the second half of the year, with demand showing signs of stabilizing. Reinforcing this view, latest data showed retail sales rose much faster than expected in the third quarter, while business confidence surged to an 11-year high in November. So far this week, the kiwi has gained nearly 2% and is on track for its best week since April.