The Reserve Bank of New Zealand (RBNZ) recently made a decision to raise interest rates. Normally, when a country raises its interest rates, it tends to strengthen its currency. in this case, the opposite happened in this situation. The price of the New Zealand dollar actually went down because of a dovish statement from the RBNZ. A dovish statement means that the...
The New Zealand dollar is coming off a strong week, with gains of 1.36%. In Monday's North American session, NZD is unchanged, trading at 0.6274. New Zealand releases retail sales on Tuesday. The central bank's tightening has hampered consumer spending and the markets are bracing for a decline in retail sales for the first quarter. Headline retail sales are...
NZD/USD is considerably higher on Tuesday, trading at 0.6203, up 0.57%. Earlier, NZD/USD rose as high as 0.6218, its highest level since April 19th. New Zealand's labour market has remained robust, despite relentless tightening from the Reserve Bank of New Zealand, which has raised rates to 5.25%. We'll get a look at first-quarter employment numbers later today,...
The NZDUSD spiked up yesterday as the RBNZ surprised markets with a 50bps rate hike (the forecast was for 25bps). With the interest rates now at 5.25%, it is just 25bps shy of the peak rates of 5.50% previously indicated by the RBNZ. Following the spike up, the NZDUSD retraced the move to trade below 0.63 again (due to the overnight recovery of strength on the...
The New Zealand dollar is showing sharp movement on Wednesday after the Reserve Bank of New Zealand shocked the markets and raised rates by 50 basis points. In the US, JOLTS Jobs Openings was below expectations, raising concerns about the strength of the US labour market. In the European session, NZD/USD is trading at 0.6296, down 0.24%. The RBNZ gets the prize...
The New Zealand dollar is almost unchanged ahead of the Reserve Bank of New Zealand (RBNZ) rate decision on Wednesday (New Zealand time). The US releases JOLTS Job Openings. NZD/USD is trading quietly at the 0.63 line in the European session. The RBNZ is widely expected to raise rates by 25 basis points, which would bring the benchmark cash rate to 5.0%. Over...
The combination of hawkish Fed speak and firmer inflation has seen the US dollar strengthen overnight. But we're interested in shorting the Kiwi dollar against it, given yesterday's lower forecasts for 2 and 3-year inflation forecasts by RBNZ. It should be noted that RBNZ hold their monetary policy meeting on Wednesday February the 22nd, and there has been call...
The New Zealand dollar is slightly lower on Tuesday. NZD/USD declined over 0.50% earlier but has pared most of these losses and is trading at 0.6240, down 0.20%. The Reserve Bank of New Zealand will meet on Wednesday, its first policy meeting this year. The Bank last met in November, at which time it hiked rates by a record 75 basis points, bringing the cash rate...
The New Zealand dollar has started the week in positive territory. In the North American session, NZD/USD is trading at 0.6357, up 0.76%. It has been a long break for the Reserve Bank of New Zealand, which last met in November. At the meeting, the central bank delivered a record 75-basis point hike, bringing the cash rate to 4.25%. The rate statement noted that...
The New Zealand dollar continues to gain ground this week. In the North American session, NZD/USD is trading at 0.6267, up 0.35%. New Zealand will release retail sales for Q3 later in the day. The markets are expecting a small gain of 0.5%, which would be a turnaround from a disappointing -2.2% in Q2. Consumers continue to struggle with high inflation and rising...
NZDUSD looks to have taken out resistance capped just below 0.6230, which may set the stage for upward extension toward resistance in the 0.6352-0.6469 zone. Reclaiming a foothold below 0.6150 now seems necessary to neutralize near-term upward pressure. Prices were relatively staid after November's RBNZ announcement registered on the hawkish end of expectations -...
Gold and the US Dollar are in focus as is the RBNZ, Kiwi and the FOMC minutes.
If the RBNZ hike by 75bp tomorrow in line with the consensus, it will be their first hike of this magnitude on record. It would also mean they have to upgrade their terminal rate of their OCR projection, which could be deemed as a hawkish hike by markets and send NZD higher against other currencies. Of course, this also leaves the Kiwi dollar to weakness should...
The NZD/USD has been on an uptrend since mid-October. However, this rally may be on a temporary halt as the pair hits the upper trend line on its downward channel, as shown below in the daily timeframe chart. For now, the long-term downtrend, since the start of the year, is still intact and could signal a possible reversal for the short-term rally for the New...
On Friday, the NZDUSD traded with significant volatility as the price surged strongly to the 0.62 resistance level but failed to break above, ending the trading week at the 0.6150 price level. Early in the trading session today, the NZDUSD is trading lower with the potential to reach the 0.61 support level. Look for the NZDUSD to break the 0.6120 interim price...
I think the Kiwi offers a tremendous reward to risk ratio on the short side here. The situation with persistent inflation and rising energy prices is certainly a headwind for the economy, combined with Powell's increased determination as per his last speech at Jackson Hole, has helped bears gain ground here, triggering both a daily and a weekly down trend...
As China reaffirmed its commitment to its zero-corona strategy, dashed hopes for an economic revival that may increase global demand, the New Zealand currency declined below $0.59, erasing gains after a robust surge. China has said that it will continue to impose restrictions in the interim. Naturally, that raises the possibility of a possible adjustment as...
Price is testing the support for the 4th time, such as MACD. We can see the columns in MACDS indicator losing power, and the line crossing each other. About candles we've a three inside up after testing the support, show us a bullish signal. And to conclude the Reerve Bank of New Zeland says "economy will slow as rising rates curb consumption", the houses...