Last week was very interesting for the markets, as we saw the releases of the US Inflation and Disney’s earnings report. So let's see what we should await this week!
RBNZ to push the NZD?
What will happen?
On Wednesday, February 24, at 03:00 MT time, RBNZ will provide the Rate Statement and Press Conference. As the interest rate is the primary impact factor for any currency, this release may bring a change to or support the current value of the NZD.
How to trade it?
After the rate was reduced to the historical 0.25% at the beginning of 2020, the RBNZ was faithfully committed to keeping it at those lows as long as the economy of New Zealand is going through the recovery process. The consumer price inflation target is not and is not expected to be met yet. In the meantime, while the economic stimulus is applied, the vaccines are being spread among the population. You will be looking for the messages regarding the outlook of these dynamics in the RBNZ statement. If there are brighter spots in what the Bank officials deliver, the New Zealand dollar may be boosted.
- Optimistic tones push the NZD;
- Pessimistic notes drag the NZD down.
Instruments to trade: NZD/USD; NZD/CAD; NZD/JPY: NZD/CHF
The United States Bureau of Economic Analysis will release monthly Personal Consumption Expenditures (PCE) on June 30, 15:30 GMT+3.
The governor of the Bank of England, Andrew Bailey, will hold a speech on June 29 at 15:30 MT time (GMT+3).
The US Markit will publish Flash Manufacturing and Flash Services PMIs (purchasing managers' indices) on June 23 at 16:45 GMT+3.