Prior to switching to the New Zealand Dollar in 1967, the currency used in New Zealand was the pound, which was similar to, but not the same as the British Pound. The present-day New Zealand Dollar is notable for its endearing nickname, the “Kiwi”, for its $1 depiction of the famous flightless bird. Today, the New Zealand Dollar is one of the 10 most-traded currencies in the world and accounts for around 1.6% of the global foreign exchange market daily turnover.
| New Zealand Dollar Contract Specifications | |
| Contract Size | 100,000 New Zealand dollars |
| Trading Hours | CME Globex: Sundays: 5:00pm – 4:00pm CT next day. Monday – Friday: 5:00pm – 4:00pm CT the next day, except on Friday – closes at 4:00pm and reopens Sunday at 5:00pm CT. |
| CME ClearPort: Sunday – Friday 5:00pm – 4:15pm CT with a 45–minute break each day beginning at 4:15pm | |
| Minimum Price Fluctuation | $.0001 per New Zealand dollar increments ($10.00/contract). $.00005 per New Zealand dollar ($5.00/contract) for NZD/USD futures intra-currency spreads executed electronically. |
| Product Code | CME Globex: 6N |
| CME ClearPort: NE | |
| Clearing: NE | |
| Listed Contracts | Six months in the March quarterly cycle (Mar, Jun, Sep, Dec) |
| Settlement Method | Deliverable |
| Last Trade Date | 9:16 a.m. Central Time (CT) on the second business day immediately preceding the third Wednesday of the contract month (usually Monday). |
| Settlement Procedures | Physical Delivery – New Zealand Dollar Futures Settlement Procedures |
| Position Accountability | 6,000 contracts |
| Block Trade Eligibility | Yes. |
| Block Minimum | 50 Contracts |
| Exchange Rules | These contracts are listed with, and subject to, the rules and regulations of CME. |
| Source: CME Group | |
New Zealand Dollar Facts
New Zealand dollar futures allow traders to assess value against the U.S. dollar, as well as the opportunity to address risk from currency fluctuations in other foreign trade markets.
Since the 1930s, the Reserve Bank of New Zealand has set monetary policy for its currency. This determines how much money is pumped into their economy and ultimately affects the interest rates of the New Zealand dollar. The Reserve Bank sets their Official Cash Rate (OCR) or the price of money loaned out in order to help control inflation. Events like inflation can have an impact on the strength of the economy and overall the value of the New Zealand dollar.
Source: Reserve Bank of New Zealand
Last updated September 2015
Additional Info
Recent Posts on the New Zealand Dollar
- New Zealand dollar gains on U.S. data (8/22/2014) - The New Zealand dollar was up against its major counterpart in late Asian deals on Friday after encouraging economic reports released overnight from the U.S improved investor sentiment.
- Kiwi weakens as Fonterra cuts forecast payout to farmers (7/30/2014) - The New Zealand dollar has begun to decline after rising to an all-time high a few weeks ago, increasing 5 percent between September of last year and the middle of July.
- Kiwi marks slight gains amid tightening policy (6/27/2014) - The currency of New Zealand rose in value on Friday against the U.S. dollar, spurred higher by healthier-than-anticipated data about shipments, according to Bloomberg.