After last weeks unexpectedly deep 50 basis point cut by the RBNZ the NZD has lost ground against USD ft.com/content/e51aa056-b8b5-11e9-8a88-aa6628ac896c. Against a back-drop of a very bullish gold/USD price this has resulted in gold breaking its 2011 all time high.
I get the feeling that the a new monetary easing policy (QE4?) is around the corner from the Fed, so we are at the start of a new easing cycle. If we are at 1% rates (this is a negative real interest rate. Inflation is 1.9% presently tradingeconomics.com/new-zealand/inflation-cpi) at the start of an easing cycle, then negative (nominal - not just interest rates below inflation) interest rates are a very real possibility.
Remember that the RBNZ holds no precious metals (bulk sold in 1960s and the balance sold in 1991) and all of its assets are foreign currency cash assets rbnz.govt.nz/statistics/f5. Expect all of those cash assets to reduce in real purchasing power while gold continues to climb.