The NZDUSD opens at 0.7821 this morning.
The NZD/USD has failed to hold onto yesterday’s gains having traded as high as 0.7915. Poor data out of both the Euro-zone and the UK has outweighed concerns over a delay in the Fed’s timeline for hiking rates, with both the USD and JPY benefiting on safe-haven buying.
German Investor Sentiment tumbled to a 2-year low, the ZEW Indicator of Economic Sentiment dropped to -3.6 from 6.9 in September, far worse than the market expectations of a zero reading. Euro-zone industrial production also disappointed declining 1.8 percent month-on-month.
The UK may decide to delay their first rate hike after yesterdays CPI numbers for September showed inflation slowed to a five-year low in September and factory-gate prices fell the most since 2009.
Global equity markets are mixed with Asian markets closing down while European and US markets are higher - Nikkei -2.38%, Shanghai -1.70%, FTSE -0.94% DAX +0.15%, CAC+0.23, Dow +0.48%
Gold Prices were steady currently trading at $1233. Oil fell 4.43% to $81.95 a barrel
The current indicative mid-rates are:
NZDUSD 0.7821
NZDEUR 0.6203
NZDGBP 0.4932
NZDJPY 84.05
NZDAUD 0.8997
NZDCAD 0.8852
There are no domestic data releases 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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