Despite weak data, the Kiwi was able to climb up a couple of pips early today. The Kiwi is currently sitting just a few pips below 0.7000, slowly making its way to the previous week’s high at 0.7022.
The producer price index for input, which measures the monthly percentage change in price of goods and raw materials bought by manufacturers, showed a 0.3% rise for the final quarter of 2009, lower than the 0.5% forecast. The PPI is usually an early indication of future inflation because businesses tend to pass on additional costs they incur to their customers.
No more economic data coming out today but the US will coming out of its long holiday weekend. Be careful out there, we could be in for some major breakouts, especially after seeing how major currencies consolidated yesterday.
Woooo! Bullish Kiwi surfers rode a wave of risk appetite yesterday to bring the NZDUSD to a new two week high. The pair finished the day at 0.7070 – will this bullish run continue today?
The Kiwi benefited from some good economic data indicating that there are more signs of real improvement in the US economy. Like other higher yielders, the NZD rallied midway through the US session when these reports were released.
With no economic data coming out for the rest of the week, watch out for commodity trading, as well as any surges in US indexes like the Dow. The Dow surged over 150 points yesterday, indicating that traders were really moving their funds away from the dollar and into riskier assets.
The lack of economic reports from New Zealand left the Kiwi vulnerable to US dollar strength. As a result, the NZDUSD was unable to surge past 0.7080 and tumbled to the 0.7030 area instead.
News of the Fed’s detailed plans for exit strategies allowed the US dollar to make headway against most major currencies yesterday. The com-dolls, including the Kiwi, pulled back from their rallies. New Zealand won’t be releasing any economic reports today, suggesting that the Kiwi could remain weak against the US dollar. Still, keep an eye out for top-tier economic reports from the US and for sentiment-shifting news!
The kiwi was able to book a modest gain over the greenback to conclude yesterday’s price action. The NZDUSD rose and closed at 0.7061 after falling to a low of 0.6986 from 0.7036.
No economic reports were due in New Zealand yesterday. The kiwi, however, started to decline during the start of the European session as fears regarding the euro zone’s and the UK’s economic state crept crawled back in the mind investors. Risk aversion led the traders back to the safety of the dollar and yen.
Soon after, the kiwi was able to recover its losses when the better-than-expected US PPI and Philadelphia Fed manufacturing index sparked some confidence among market participants.
Earlier today, the kiwi slipped flat on its face when the Fed raised its discount rate by 0.25% to 0.75% effective February 19. A lot of investors run back to the dollar as concerns that the global economic growth will slow as central banks like the Fed start to tighten their policies.
The dollar spiked across the board and the NZDUSD pair slipped by more than 100 pips following the report.
No major economic reports are scheduled today in New Zealand as well. The US, however, will release its January CPI data. Strong inflation figures could spark another set of speculations that the Fed may again tighten its policies. The kiwi, along with the other anti-dollars, could get left behind if this happens.
The Kiwi started out last week on a firm note, climbing steadily against the dollar. Unfortunately, the Fed came out with a surprise discount rate hike on Thursday, fizzling out the Kiwi’s hard-earned rally. The Kiwi closed out the week at 0.6985, just 30 pips higher from its week open price.
New Zealand kicks off this week with the release of the 4Q inflation expectations report tomorrow at 2:00 am GMT. The report measures the percentage that businesses think the price of goods and services would change over the next few years. Rising inflation expectations usually reflect positively on the Kiwi as it could push the RBNZ to raise rates earlier. Inflation expectations during the third quarter of 2009 was at 2.6%.
On Thursday, at 2:00 am GMT, expect to see the NBNZ business confidence survey for February. The survey asks what wholesalers, retailers, manufactures and other businesses think about the New Zealand’s business conditions and outlook.
Also due on Thursday is January’s building consents report. The building consents report is usually used as a leading indicator of construction activity since getting government approval is the first step in constructing a building. The actual results will be released at 9:45 pm GMT.
With barely any movement in yesterdays trading session, traders couldn’t catch any nice waves. The NZDUSD remain steady trading within a range of 13 pips. Yes, that’s right – THIRTEEN!
We could some pretty volatile moves right about now, as inflation expectations data is due any minute now. The last release showed that consumer prices rose by 2.6% during the third quarter of 2009. If today’s figure comes out exceedingly higher, it may just signal the RBNZ to raise interest rates. Remember, the RBNZ has yet to follow the RBA’s lead in raising interest rates. A spike in inflation may just be the spark that is needed to follow suit.
Risk aversion clipped the Kiwi’s wings yesterday, leaving the NZDUSD diving down by more than 150 pips. Despite New Zealand’s relatively strong economic report, the Kiwi joined the rest of its com-doll buddies in tumbling down against the greenback.
New Zealand’s inflation expectations report showed that price levels are expected to rise 2.65% in the next couple of years. This forecast was little changed from its previous reading of 2.61% in the third quarter. Annual inflation is estimated to rise by 2.1% in December, unchanged from the November forecast. The survey also showed that economic growth is slated to rise by 2.1% next year, up from the prior 1.7% estimate.
New Zealand won’t be releasing any economic reports for today but keep an eye out for US economic data which could, once again, have a huge impact on risk sentiment. Risk aversion took center stage yesterday when the US consumer confidence report came in below expectations, which implies that more weak figures from the US could spur another flight to the safe-havens.
After falling by a hundred pips versus the dollar last Tuesday, the Kiwi was able to stage a little rally in yesterday’s trading. The NZDUSD rose to 0.6934 from 0.6911.
No economic reports were due in New Zealand yesterday. The NZD, together with the other higher yielding currencies, benefited from the FOMC’s latest statement that it will keep its present monetary policies for an “extended period.”
The NBNZ business confidence index for the month of February will be out shortly at 2:00 am GMT. The index was pegged at 38.5 in January which still indicates some optimism in New Zealand’s market. The index, however, has been falling for the past two months now. So any fall in the figure could probably add some selling pressure on the NZD.
Data on New Zealand’s building permits will also be out later at 9:45 pm GMT. The number of building consents has fallen by 2.4% in December. The country’s trade balance will be published on a separate report. Its net surplus in January was at NZD 2 million. Without any data supporting a jump in New Zealand’s housing and exports, January’s tally in these accounts could remain subdued.
Just like the other majors, the Kiwi went on a roller coaster ride yesterday. It just bounced around its Asian session highs and lows, but eventually ended the day flat. It found itself at 0.6918 at the end of the US trading session, just 15 pips lower from its opening price during the Asian session.
Earlier today, better-than-expected results from New Zealand’s trade balance helped the Kiwi edge higher. It showed a 269 million NZD surplus for January, opposite the 99 million NZD deficit initially expected. Remember, a surplus means that more goods were exported than imported.
The building consents report, which was also released earlier, showed that there was a 2.8% drop in the number of new building approvals in January. Although in the negative territory, the figure was an improvement from the 3.8% decline seen the month before.
No more economic data coming out of New Zealand today so the Kiwi would probably take its price action cues from the US preliminary GDP later.
The Kiwi was able to maintain its steady footing yesterday as it ended virtually unchanged against the greenback. Although price action was a bit chaotic around the time of the release of US economic reports, the NZDUSD found support at the 0.6940 area and surged back to the 0.7000 handle.
New Zealand didn’t release any economic reports during the first day of the week and none are due in the next 24 hours. The Kiwi’s price action could take cue from the Aussie, which could benefit from an interest rate hike from the RBA today. Stay tuned for the actual rate statement at 3:00 am GMT.
The Kiwi had another bad day as it slid against the greenback yesterday. The NZDUSD found some resistance at the 0.7000 handle and fell back to close at 0.6959 from 0.6993.
No economic reports were due in New Zealand yesterday. Note that Australia’s economy is closely related to New Zealand’s because of the countries’ geographic location. Both of them also supply a great deal of raw materials to China. Yesterday, Australia’s central bank, the RBA, hiked its rate by 0.25% to 4.00%, boosting the Aussie. This, however, was not able to give support to the Kiwi.
New Zealand’s economic calendar will be report-free today as well. The release of the unemployment claims and pending home sales data in the US, though, could bring some volatility to the Kiwi. Positive figures in these accounts could spark some risk taking, benefiting the Kiwi.
While other major currencies staged nice rallies yesterday, the Kiwi found itself losing a bit of ground against the dollar. The NZDUSD ended the US trading session at 0.6949, down 10 pips from its Asian open price.
It seems like the RBA’s rate hike yesterday severely affected the AUDNZD cross, which is put some selling pressures on the NZD across the board. Needless to say, the NZDUSD tumbled to a low of 0.6983 before bouncing back late in the US trading session.
No economic data coming out of New Zealand today so the Kiwi would probably take its price action cues from news coming out of other major economies, most especially the weekly unemployment claims and the pending home sales report from the US later.
Despite the lack of any local data coming out, the Kiwi took a hit yesterday. The NZDUSD took the most noticeable hit amongst com-dolls, falling about 60 pips to end the day at 0.6871.
The Kiwi fell to 9 month lows against the Australian dollar, suggesting that investors are slowly moving their funds towards Australian assets. Take note that while the RBA has been raising rates the past couple of months (and once again earlier this week), the RBNZ has yet to raise rates even once. Could the difference in interest rates be the deciding factor between the Aussie and Kiwi? Maybe, just maybe…
No data coming out once again from New Zealand, but watch out for strong moves later in the US session when employment data is released.
What a day for comdolls like the Kiwi, as risk appetite was back in vogue! The NZDUSD shot up 100 pips to close out at at 0.6971, erasing losses made earlier in the week.
The big news coming out from New Zealand this week is the RBNZ interest rate decision on Wednesday. It is widely expected that the central bank will keep rates at 2.50%. Take note though, that the RBA raised rates for the 4th time last week – could this be a factor in the RBNZ’s decision? Maybe, just maybe!
The Kiwi was able to extend its win last Friday over the greenback to start the week despite the lack of economic flows in New Zealand and the US. The NZDUSD rose to 0.7002 from 0.6955.
New Zealand’s and the US’s economic calendar will be void of economic reports today as well. The Kiwi, therefore, could just trade in a range-bound fashion.
Tomorrow, the Reserve Bank of New Zealand will decide on its interest rate. While the bank is widely expected to maintain its rate at 2.50%, the recent hike of the RBA could prompt the RBNZ to possibly raise its rate sooner than later. Any hawkish statement from the bank could send the NZD higher.
Despite losing early on during the Asian session, the Kiwi was able to fight back and post some modest in yesterday’s trading session. From it’s Asian open price of 0.7003 the Kiwi fell as low as 0.6962 before bouncing back up to close the US trading session near Monday’s highest price levels at 0.7029.
Scheduled for today at 8:00 am GMT is the Reserve Bank of New Zealand’s interest rate decision. The expectation is that the bank would keep true to its commitment and keep rates unchanged at 2.50%. I’d watch out for the accompanying statement though, as any change in their stance to hold rates at 2.50% until mid-2010 could cause some volatile movement on the Kiwi.
After nearly testing the 0.7100, the Kiwi gave back much of its gains against the dollar following the RBNZ statement. The NZDUSD pair ultimately closed at 0.7024.
As expected, the RBNZ kept interest rates at 2.50% and repeated their claims that they would only hike rates by mid 2010. Still, this sent the NZD tumbling down as RBNZ head honcho Alan Bollard delivered some dovish comments. He said that while New Zealand’s trading partners were doing better, he was still concerned with growing risks around the world. He even said that due to higher funding costs, less rate hikes would be would be needed than in the past! Talk about spoiling the party!
Later this evening, retail sales data are coming in at 9:45 pm GMT. Retail sales are expected to have picked up by 0.4% in January. This would be a sight for sore eyes as sales remained level in December despite the holiday season.
The Kiwi moved in a tight cage yesterday, unable to break free despite the reported improvement in retail sales. The NZDUSD kept its head below the 0.7000 handle and dipped to a low of 0.6964.
New Zealand’s retail sales grew by 0.8% in January, ahead of the expected 0.4% increase. This also marked a rebound over the 0.4% slide seen in December. The increase was led by vehicle-related industries, such as auto fuel retailing and motor vehicle sales. Core retail sales, on the other hand, fell short of the expected 0.7% growth and churned out a mere 0.3% uptick during the month.
New Zealand won’t be releasing any economic reports today but watch out for the US version of the retail sales report at 1:30 pm GMT today. A drop of 0.1% is expected but if a larger decline is seen, the Kiwi could lose ground to the safe-haven greenback.
The Kiwi closed the last Friday’s trading mixed, gaining only 4 pips over the dollar. The NZDUSD rose slightly to 0.7013 from 0.7009. Will it finally break free from its range? We’ll find out in the coming hours or days.
New Zealand did not release any economic reports last Friday. Given the lack of economic flows from New Zealand, the Kiwi just traded within a 65-pip range. Still, the NZDUSD pair exhibited a little volatility when the US retail sales numbers were posted. The pair weakened following a better-than-expected core sales of 0.8% (vs. 0.1%).
Only the ANZ consumer confidence index for the month of March is due for New Zealand this week. The account, which registered a score of 116.9 during the month prior, will be out on Thursday. Remember that the RBNZ recently kept its interest rate the same again at 2.50%. Their reason was that the country’s growth was not enough to merit any hikes. Given the bank’s reluctance to hike its interest rate, there’s a possibility that the index could decline slightly. Such could then be bearish for the Kiwi.
The lack of economic news from New Zealand kept the Kiwi within a tight 60-pip range in yesterday’s trading session. From its week open price of 0.7031, the NZDUSD dipped as low as 0.6987, before eventually closing out the US trading session at 0.7022.
Just like yesterday, don’t expect any data from New Zealand today. This means that the NZDUSD’s price action primarily be driven by news coming out of the US, particularly the upcoming FOMC statement at 6:15 pm GMT later.