AUD/NZD slips below 1.0480 post-RBNZ decision


  • AUD/NZD prints losses on Wednesday in the Asian market.
  • RBNZ announces a rate hike and pushes kiwi higher against majors.
  • The pair erases early gains on RBA and RBNZ  divergence on a monetary policy decision.

The AUD/NZD edges lower in the Asian session on Wednesday. The cross-currency pair fell more than 30-pips in an immediate reaction to the Reserve Bank of New Zealand’s (RBNZ) latest monetary policy decision. It seems the market was already braced up for the event.

At the time of writing, AUD/NZD is trading 1.0463, down 0.04% on the day.

The RBNZ raised its Official Cash Rate (OCR) by 25 basis points to 0.5% during its October monetary policy meeting, as widely anticipated. RBNZ became the first major central bank to raise the interest rate. Nevertheless, the pair failed to sustain the upward momentum and erases all the gains as the market already priced in the event.

The aussie remained pressured after the Reserve Bank of Australia (RBA) kept the cash rate unchanged at a record low of 0.1%. The RBA kept the interests rate at historical lows citing dismal labor market conditions and higher inflation as the major reasons to maintain the accommodative monetary policy whereas RBNZ reduced the monetary stimulus as the Official Cash Rate (OCR) hiked to 0.50% to maintain low inflation and support maximum sustainable employment.

It is worth noting that, S&P 500 Futures are trading lower at 4,324 with 0.23% losses, which is hinting at the risk-off mood in the market.
 

AUD/NZD additional levels

AUD/NZD

Overview
Today last price 1.0464
Today Daily Change -0.0008
Today Daily Change % -0.08
Today daily open 1.0472
 
Trends
Daily SMA20 1.0373
Daily SMA50 1.0429
Daily SMA100 1.0566
Daily SMA200 1.0665
 
Levels
Previous Daily High 1.0486
Previous Daily Low 1.0432
Previous Weekly High 1.052
Previous Weekly Low 1.0335
Previous Monthly High 1.0489
Previous Monthly Low 1.0278
Daily Fibonacci 38.2% 1.0465
Daily Fibonacci 61.8% 1.0453
Daily Pivot Point S1 1.0441
Daily Pivot Point S2 1.041
Daily Pivot Point S3 1.0388
Daily Pivot Point R1 1.0494
Daily Pivot Point R2 1.0517
Daily Pivot Point R3 1.0548

 

 

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