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30 Jul 2014
NZD/USD remains in free-fall, some bids circa 0.85
FXStreet (Bali) - NZD/USD lost for a fourth consecutive day on Tuesday, shredding over half a cent off its value vs a much firmer US Dollar.
NZD/USD printed its lowest since June 10, landing at 0.8494, before some mild profit-taking saw the price bounce towards 0.8510, current price. Positive NZ building consents, up 3.5% in June vs -4.6% in May, barely had an effect on price.
From a fundamental standpoint, the sharp sell-off by the NZD over the past few weeks comes in response to a more neutral RBNZ (if only for the next few months) and a lower-than-expected milk pay-out forecast to farmers in NZ by Fonterra.
NZD/USD printed its lowest since June 10, landing at 0.8494, before some mild profit-taking saw the price bounce towards 0.8510, current price. Positive NZ building consents, up 3.5% in June vs -4.6% in May, barely had an effect on price.
From a fundamental standpoint, the sharp sell-off by the NZD over the past few weeks comes in response to a more neutral RBNZ (if only for the next few months) and a lower-than-expected milk pay-out forecast to farmers in NZ by Fonterra.