The Monetary Policy Committee of the Reserve Bank of New Zealand (RBNZ) today raised the official cash rate by 50 basis points to 2.0%, as expected. This is the fifth consecutive rate hike by the entity, whose rates are at their highest level since September 2016. RBNZ Statement The Committee agreed that it remains appropriate […]
Tag: RBNZ
NZD/USD Bulls Expect to Go Beyond 0.6500, Focus Turns to RBNZ and FOMC Minutes
NZD/USD gained strong positive traction on Monday and soared to a two-week high. The risk appetite boost undermined the safe haven dollar and extended support for the kiwi. Expectations of a 50 basis point rate hike by the RBNZ provided further impetus. The pair NZD/USD continued its recent strong recovery from a nearly two-year low […]
NZD/USD rallies more than 1% and retraces the 0.6450 level
NZD/USD extends previous gains as USD remains heavy. The RBNZ is on track to raise OCR by 50 basis points at its May policy meeting. Mixed news out of China caps NZD bulls as investors turn cautious. The NZD/USD has hit fresh three-week highs at 0.6476 during the Asian session on Monday, before entering consolidation […]
NZD/USD consolidates around the 0.6400 level, about to break a seven-week losing streak
After failing to break above its 21 DMA at 0.6413, the NZD/USD has pulled back to consolidate around 0.6400. The pair is heading for its first positive week in seven as traders prepare for next week’s RBNZ rally. Although risk assets appear to end the week in a stronger position, most of them have pulled […]
NZD/USD tests the 21 DMA below 0.6450
NZD/USD has pulled back below 0.6400 after testing its 21 DMA at 0.6430, but is still trading higher on the day. The weakness of the US dollar after the manufacturing data from the Philadelphia Federal Reserve and the strength of the kiwi after the good revisions of the PPI and OBEGAL are helping. The NZD/USD […]
NZD/USD recovers towards 0.6350 despite strong US CPI figures.
NZD/USD rallied to the 0.6350 area on Wednesday as risk appetite stabilizes, despite higher-than-expected US CPI data. But the prospect of a sustained rally does not look good as NZD/USD is still trading near its lowest levels since 2020. Ongoing concerns about global growth and central bank tightening could still send the pair lower. A […]
NZD/USD at new lows since June 2020
NZD/USD was hit on Monday along with a further decline in global risk assets and commodities. The pair fell to new lows since June 2020 at 0.6350. The focus is on US and New Zealand CPI inflation expectations data later in the week, which could weigh on central bank expectations. The NZD/USD was hit on […]
NZD/USD looks vulnerable to a break below 0.6400 as Wall Street falls
Currency markets did not react much to the latest US jobs data, but could react to a continued slide in US equities. NZD/USD looks vulnerable to a possible drop below 0.6400 and a test of support in the 0.6380 area. The main focus next week will be on the US CPI data. While currency markets […]
NZD/USD steady around 0.6400 ahead of NZ jobs data and Fed decision
The NZD continues its eight-day free fall from 0.6850 to 0.64000. The Federal Reserve has started its two-day monetary policy meeting, is expected to raise rates by 0.50% and start reducing the balance sheet. Positive employment data in New Zealand in the first quarter raised the odds of a 50 basis point rate hike by […]
NZD/USD pulls back below 0.6500
NZD/USD has pulled back from previous session highs of 0.6545 as the dollar trims intraday losses. The pair is back below 0.6500 and on track for its worst monthly performance since mid-2015. The US dollar has been strong this month amid a combination of aggressive bets from the Fed plus safe haven demand. A rebound […]