The overall market sentiment is risk-on. The S&P 500 index (US 500) is getting close to the all-time high. Oil is recovering quickly from its recent losses.
All attention to NZD
The RBNZ will make the monetary policy statement on August 12 at 5:00 MT time!
Instruments to trade: NZD/USD, NZD/CHF, NZD/JPY
This statement is really important to follow as it will define the future NZD movement. Let’s have a quick look at the background. The Reserve Bank of New Zealand set the cash rate at a record low of 0.25% on June 24. Also it imposed its large scale asset purchase (LSAP) program at 60 billion New Zealand dollars. Officials assured that they would use all the needed tools to support economy further in such unstable times. The recent data showed that the labor market started recovering: New Zealand’s unemployment rate rose less than analysts expected. It turned out 4.0%, while the forecast was 5.6%. It might be a signal for the government to ease its policy. Moreover, authorities may be interested in lower NZD as now it’s really expensive for other countries to buy goods in New Zealand.
- If the RBNZ eases its policy, the NZD will decrease.
- If the RBNZ leaves the monetary policy unchanged, the NZD will increase.
What will happen? The FOMC statement will be published at 21:00 MT (GMT+3) on Wednesday, July 28…
Hong Kong stock index extended a decline sparked by China’s tech crackdown. Tesla posted better-than-expected results. Jump in!
This week Apple, Microsoft, Google, Facebook, Pfizer, and other large US companies will deliver earnings reports…