SBForex

RBNZ Preview, bullish comments likely, possible buy opportunity

FX_IDC:NZDUSD   New Zealand Dollar / U.S. Dollar
At 2000GMT the RBNZ will announce their rate decision, with unanimous expectation of rates to be held at record low 1.75%. I believe comments from the RBNZ will be mildly bullish for several reasons. Recent data out of New Zealand has been encouraging as CPI             has returned to the RBNZ’s target (1-3%) with both Y/Y and Q/Q figures printing better than expected, and most recently Inflation Expectations hit a 2-year high. Elsewhere, GDP also came in higher than expected while the latest Exports, Imports and Trade Balance data all surpassed expectations. Recent comments from RBNZ Governor Wheeler suggests another cut is not likely after he stated the economy is performing relatively well. Conversely, RBNZ Deputy Governor McDermott said risks on rates are still to the downside and the central bank will cut rates more if needed. More recently, New Zealand Unemployment Rate printed worse than expected and rose to the highest level since May last year, although some would argue that this is not alarming as the Participation Rate rose to fresh record highs. Since a rate move is not likely, the accompanying statement will give clues on future monetary policy and should give you a view on where NZD is heading. Goldman Sachs and BNZ both see at least one hike this year and according to Capital Economics, markets are pricing in up to two hikes by for 2017.
EN English (UK)
EN English
EN English (IN)
DE Deutsch
FR Français
ES Español
IT Italiano
PL Polski
SV Svenska
TR Türkçe
RU Русский
PT Português
ID Bahasa Indonesia
MS Bahasa Melayu
TH ภาษาไทย
VI Tiếng Việt
JA 日本語
KO 한국어
ZH 简体中文
ZH 繁體中文
AR العربية
HE עברית
Home Stock Screener Forex Screener Crypto Screener Economic Calendar How It Works Chart Features House Rules Moderators Website & Broker Solutions Widgets Stock Charting Library Feature Request Blog & News FAQ Help & Wiki Twitter
Profile Profile Settings Account and Billing My Support Tickets Contact Support Ideas Published Followers Following Private Messages Chat Sign Out