NZD/USD: Positive bias for the week ahead - Westpac

Imre Speizer, Research Analyst at Westpac, adopts a positive bias for NZD/USD for the week ahead, targeting 0.71.

Key Quotes

“NZD supportive factors include rising dairy prices, rising NZ inflation, and NZD speculator positioning.”

“CFTC reports NZD/USD speculators as extremely short by historical standards, and thus vulnerable to a reversal.”

“Multi-month, though, we continue to expect a NZD/USD decline to sub-0.69, driven by a rising US dollar.”