New Zealand dollar rallies on less-dovish RBNZ

New Zealand dollar rallies on less-dovish RBNZ

On Wednesday, the currency pair NZD/USD managed to go up in Asia following a Reserve Bank of New Zealand verdict earlier in the day.

New Zealand’s major financial institution left the interest rates on hold at 1.75%. However, it stayed away from providing any new dovish clues for either future monetary policy updates or headline economic indicators.

Adrian Orr, RBNZ Governor also underpinned the major bank’s outlook and told that the chances of a rate cut hadn’t soared, while risks are quite balanced.

The currency pair NZD/USD was last seen at 0.6845, heading north by 1.7% due to the fact that financial markets were set for a much more dovish RBNZ.

In addition to this, the USD index inched down by 0.1% being worth 96.453. More upbeat news on the trade front coming from the American side improved risk sentiment and diminished demand for safe-haven assets, in particular, the evergreen buck.

On Tuesday, US leader told that he’s geared up towards extending the March 1 deadline if China and America manage to get closer to a trade agreement soon. Earlier US Treasury Secretary Steven Mnuchin told reporters that he really hopes for fruitful trade talks in China.

Their remarks helped to recover risk appetite in broader markets. As a result, Asian stock kept soaring for a second day.

The dive in the evergreen buck also came as Fed Chair Jerome Powell played down the likelihood of a recession in his country, repeating that the American economy is on firm footing.

The Chinese Yuan also rallied versus its US rival reacting to the news. As a matter of fact, the currency pair USD/CNY tumbled by 0.3% being worth 6.7536.

The currency pair USD/JPY headed north by 0.1% concluding the trading session at 110.57.

The currency pair AUD/USD soared by 0.5% hitting 0.7130.

Similar

Latest news

Japan real wages surge is slowest in almost two years

Japan's March real wages went down at the fastest pace in nearly two years, weighed by minor nominal pay lifts as well as a moderate ascend in consumer prices, thus posing a setback for Prime Minister Shinzo Abe's tries to revitalize the Japanese…

Deposit with your local payment systems

Callback

A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Internal error. Please try again later

Beginner Forex book

The most important things to start trading
Enter your e-mail, and we will send you a free Beginner Forex book

Thank you!

We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera