Markets were disappointed this morning as we saw Kiwi Q2 CPI come in much lower than expected at unchanged q-o-q and just 1.7% y-o-y, down from 2.2%, according to Michael Every, Senior Asia-Pacific Strategist at Rabobank.
“So once again New Zealand is at the cutting edge, showing us all that inflation is going to be something in the rear-view mirror sooner than we think, in all probability. That should certainly help stay the RBNZ’s hand, and they can watch everyone else make the same mistake they did in raising rates a while back with a wry smile I can almost hear from Hong Kong. Nonetheless, USD sentiment is currently so bearish that NZD only dropped from around 0.73 to 0.7270 post-release, which is pretty small beer.”
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 securities. 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 Forex 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.