In the meantime, the best performing currency today is the New Zealand dollar, which rose to its strongest level against the greenback since August 2011. Last night's better than expected trade numbers kept the currency bid but the main catalyst for the move were the comments from RBNZ Deputy Governor Spencer. Like the Australian dollar, currencies are responding more to comments policymakers than economic data. Spencer said the lack of loan limits "may have prompted monetary policy tightening to have started somewhat earlier." He believes the central bank is happy with the current policy framework and while NZD/USD appreciated more than 7% over the past 2 months, Spencer did not express any renewed concerns about the currency. Instead he said exporters have adjusted to the high exchange rate, which suggests that they don't plan to slow tightening or intervene in the currency as a result of NZD strength.
If NZD/USD ends the day above its April 2013 high of 0.8676, there is no major resistance for the pair until its 2011 high of 0.8842.
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