The Reserve Bank of New Zealand made announcements regarding its monetary policy. The NZD/USD dropped.
Will the RBNZ push the kiwi higher?
The Reserve bank of New Zealand will publish its rate statement and make the interest rate’s announcement on June 26, at 5:00 MT time.
After the expected rate cut from 1.75% to 1.5% during the previous meeting, we do not anticipate any changes to the interest rate this time. However, the RBNZ governor Adrian Orr may provide the bank’s opinion on the future path of its monetary policy. Let’s see if policymakers support the New Zealand currency this time.
• If the RBNZ is hawkish, the NZD will rise;
• If the RBNZ is dovish, the NZD will fall.
The US NFP will be published on August 7 at 15:30 MT time.
The market sentiment is indeed risk-on today. Stocks, riskier currencies and gold are rising amid the waning US dollar.
Follow the BOE monetary policy and rate statements on August 6 at 14:00 MT time…