NZD/USD is being weighed on under 0.5700 – BBH
|NZD/USD is heavy under 0.5700 and trading close to the level implied by 2-year NZ-US bond yield spreads. New Zealand January ANZ business outlook survey was disappointing but still extremely high, BBH FX analysts report.
RBNZ/Fed policy trend remains drag for NZD/USD
"Business confidence dipped 8 points to a five-month low at 54.4 and the expected own activity fell 4 points high to a four-month low at 45.8. Reported past activity, which has the best correlation to GDP, improved slightly to 0.2 vs. 0 in December suggesting a modest recovery in economic activity is underway."
"In line with RBNZ guidance, markets continue to imply another 50bps rate cut to 3.75% in February and the policy rate to bottom around 3.00% over the next 12 months. RBNZ/Fed policy trend remains drag for NZD/USD."
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.