NZD TECHNICAL ANALYSIS
The New Zealand dollar has fallen to a seven-month low
against the US Dollar, following the Reserve Bank's decision to keep the cost
of borrowing on hold.
The kiwi fell from 82.2 US cents to as low as 81.40 cents,
- the lowest it has been since the 4 February.
governor Graeme Wheeler kept the benchmark interest rate on
hold as expected, while pulling back expectations for inflation and the
forecast track for the 90-day bank bill rate, seen a proxy for the official cash
rate..
The outlook for prices of New Zealand's main commodities
will also be closely watched by currency strategists, A stronger US dollar also
weighed on the kiwi, as investors speculate strength in the US economy may
prompt a more hawkish statement from the Federal Reserve next week.
Traders are looking ahead to next week's Fed meeting and
all eyes will be on any clues with regards to the timing of an interest rate
increase. The Fed is on track to end its monthly bond-buying program, currently
at
US$25 billion, in October.
This review does not including any document and / or file attached to it as advice or recommendation to buy / sell securities and / or other device.
No comments:
Post a Comment