The NZDUSD opens at 0.8810 this morning.
The NZD, USD and global equity markets were relatively stable Friday night after Portugal's Government and central bank reassured the markets that their financial system was sound, despite concerns regarding their largest bank.
High yielding currencies such as the NZD & AUD will continue to be sought-after while the US Fed and European Central Bank maintain their current ultra-loose monetary policies.
The Reserve Bank of Australia Governor was quoted in the weekend newspapers saying the AUD is too high, the markets areunderestimating the chance of a material decline at some point (he can?t say when however), given the likely market disruption from tighter US monetary policy at some stage in 2015.
Global equity markets were mostly higher on the day - Dow +0.2%, Nikkei -0.4%, Shanghai +0.2%, FTSE+0.3%, DAX +0.1%
Gold prices rose by 0.2% to USD$1338. Oil prices fell by 1.9%.
The current indicative mid-rates are:
NZDUSD 0.8810
NZDEUR 0.6480
NZDGBP 0.5145
NZDJPY 89.30
NZDAUD 0.9395
NZDCAD 0.9460
There is no data scheduled on the domestic calendar today.
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Dan Bell is the senior currency strategist at HiFX in Auckland. You can contact him here »
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