
After months of pressure from the White House, Saudi Arabia relented and agreed with other OPEC+ members to increase production.
2020-08-28 • Updated
NZD/USD has broken the marked downtrend that has been lasting for a month. Recently, it reached levels unseen since December 2019. What are the reasons?
NZD/USD has been mainly driven by the weakness of the US dollar. Yesterday, US Fed’s Chair Jerome Powell claimed that the Fed will allow inflation and employment to run higher. Therefore, the interest rates will stay at low levels for years to come. Most analysts took it skeptically as they believe these measures may lead to the fragility of the US economy. As a result, the dovish outlook of the Fed’s statement pressed on the greenback. Consequently, riskier assets surged, and the New Zealand dollar was just one of them. That goes against the wish of the Reserve Bank of New Zealand to see the kiwi depreciated, as it makes their goods and services more expensive for other countries. Indeed, the continued bid in the New Zealand dollar will be discouraging for the country.
Economic indicators also added headwinds to the kiwi this week. New Zealand’s retail sales turned out better than predicted this Monday: -14.6% vs. the forecast of -16.3%. Moreover, New Zealand reported a trade surplus, which came out almost matching expectations: 282 million New Zealand dollars, while 285 million were anticipated.
NZD/USD has surged above 0.6720 for the first time since the very beginning of this year. If the pair continues to rise and breaks the resistance of 0.6750, its next bullish target will be at 0.6790 – the high of July 2019. In the opposite scenario, the move below the psychological mark of 0.6600 will drive the price lower to the support of 0.6520. Follow further news and join the flow!
After months of pressure from the White House, Saudi Arabia relented and agreed with other OPEC+ members to increase production.
What is going on with this energy asset these days, and should we prepare for further falls?
Last Friday’s NFP was disappointing. The reaction of the markets was astonishing. Will it last longer? Let's find out the main trade opportunities for the upcoming week.
Last week was bearish for risky assets such as stocks, oil, gas, and crypto. Will the upcoming week change the situation across the markets? Let’s look at it in detail!
US stocks have delivered their worst first half of a year in more than 50 years triggered by the Fed's attempt to control inflation and growing concerns about recession.
The value of the US dollar continues to rise, but is this because of the strength of the dollar itself or just the weakness of the euro, Japanese yen, and British pound? Since the beginning of the year, the US dollar index has been up 8…
FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.
Your request is accepted.
A manager will call you shortly.
Next callback request for this phone number
will be available in
If you have an urgent issue please contact us via
Live chat
Internal error. Please try again later
Don’t waste your time – keep track of how NFP affects the US dollar and profit!
Beginner Forex book will guide you through the world of trading.
We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.