By Dan Bell

The NZD/USD opens at 0.8255 this morning, which is just below the overnight high, while the market awaits the last RBNZ interest decision for 2012 at 9:00am.

Rates are almost universally expected to remain at 2.5%, but the accompanying statement will be closely examined for any indication of future easings (which would weigh on the NZD).

The EUR/USD fell from 7-week highs as worries after a disappointing Spain bond auction and weak euro zone manufacturing and retail data. However, the NZD/USD has been resilient in this face of this.

The political stare-down regarding the US fiscal cliff shows no sign of breaking.

European Central Bank has an interest rate meeting tonight. Rates will remain at 0.75%, but the bleak euro-zone economic outlook will keep hopes of future easings alive.

Australian employment data will be released at 1:30pm. A negative number will see some of the recent shine come of the AUD, and hence the NZD. However, this number is somewhat of a random number generator.

World equity markets higher across the board, which the exception of the Nasdaq. The Dow Jones was up a healthy 0.8%, while UK & European indices gain 0.1% to 0.4% overnight.

Gold prices dropped sharply to 1-month lows - it currently trades at USD$1692. A weaker price forecast by Goldman Sachs helped triggered heavy gold selling by some funds. Copper prices climbed  further to USD$8,100. Other metals prices were generally stronger as well.

The NZD opens at 0.8255 USD, 0.7890 AUD, 0.6310 EUR, 0.5125 GBP, & 67.95 JPY.

RBNZ rate decision hit the tapes at 9:00am, followed by Australian employment data at 1:30pm.

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Dan Bell is the senior currency strategist at HiFX in Auckland. You can contact him here