July 16, 2012
Up, up, and away! The Kiwi soared by pips against the Greenback on Friday, allowing NZD/USD to end the week at . Will it be able to hold on to its gains this week?
The Kiwi was off to a poor start last Friday as it got weighed down by weaker than expected Chinese GDP. Apparently, the Asian giant grew by only 7.6% during the second quarter of 2012, which was less than the estimated 7.7% expansion and the previous quarter's 8.1% growth.
However, NZD/USD was able to bounce back later on during the U.S. session when Uncle Sam reported worse than expected consumer sentiment data. This was enough to spur talks of QE3 again, causing the Greenback to lose ground to its major counterparts.
This week, there aren't much reports on New Zealand's schedule except for the CPI report due 11:45 pm GMT today. The report is expected to show that price levels increased by another 0.5% for the second quarter of this year, but weaker than expected data could for the Kiwi to return some of its recent gains. Stay on your toes!
"The only cable I watch is the pound baby."