By Dan Bell
The NZD/USD opens around 0.8225 this morning, having peaked at 0.8235 overnight.
US Q3 GDP came in at 2.0%, 0.1% stronger than expected. However, US Consumer Sentiment disappointed and suffered a fall from the previous months figures.
German Consumer Confidence rose, but the EUR/USD was little changed. The market still awaits a Spanish bailout request to lower its borrowing costs, while there are further concerns regarding Greece and its ability to meet their agreed targets.
US Atlantic Seaboard is busy preparing for the arrival of Hurricane Sandy. It is expected to hit landfall later this week and, according to some forecasters, has the potential to be a multibillion-dollar disaster and could disrupt oil supplies.
US equity indices were little changed, European bourses were stronger, while the Japanese Nikkei and Chinese Shanghai Composite Indices fell 1.4% & 1.8% respectively.
Gold prices ended last week USD$1711 an ounce, Oil prices gained 1.0% while Copper prices were steady. Other commodities prices were generally weaker in price.
The NZD opens at 0.8225 USD, 0.7935 AUD, 0.6350 EUR, 0.5100 GBP, & 65.45 JPY.
It is a light week domestically on the data front, with only Building Consent on Wednesday and ANZ Commodity Index on Friday.
The influential US non-farm payrolls employment data hits on Friday evening.
------------------------------------------------------------
To subscribe to our daily Currency Rate Sheet email, enter your email address here.
-------------------------------------------------------------
Dan Bell is the senior currency strategist at HiFX in Auckland. You can contact him here
No chart with that title exists.
1 Comments
Hurricane Sandy does indeed look like its going to cause a lot of damage. Gold and Silver should maintain support though some industrial commodities have past their peak in this super cyle such as copper and iron ore.
We are approaching the toughest part of global financial/government crisis over the next 2 years particularly in Europe then hopefully the worst is behind us on this front. A good clean up required.
Interesting on Bloomberg that former Italian Prime Minister Silvio Berlusconi said his party, the biggest in parliament, may end support for Premier Mario Monti’s government because its policies are deepening the country’s recession. Also the fact is that Berlusconi will make some big money if Italy pulls out of Europe.
We welcome your comments below. If you are not already registered, please register to comment.
Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making such comments. Our current comment policy is here.