Core Viewpoint - Barclays reports that due to the divergence in economic conditions and central bank policies between Australia and New Zealand, the Australian dollar (AUD) is expected to underperform against the New Zealand dollar (NZD) [1] Economic Conditions - The Australian economy is slowing down, leading to a higher risk of dovish policies from the Reserve Bank of Australia (RBA) [1] - In contrast, New Zealand's economy is accelerating, with inflation rebounding [1] Central Bank Policies - Barclays suggests shorting AUD/NZD ahead of the next policy meetings of the RBA and the Reserve Bank of New Zealand (RBNZ) [1] - The RBA is expected to cut interest rates by 25 basis points on Tuesday and potentially continue with similar cuts at least three more times over the next quarters [1] - The RBNZ is anticipated to cut rates once this month, but will likely be more cautious given the near 2.9% terminal rate expectation [1]