27 Jul 2015
NZD/USD: Sold on the rally on bank divergences - BBH
FXStreet (Guatemala) - Analysts at Brown Brothers Harriman noted that the New Zealand dollar reacted positively to the RBNZ rate cut in part because the accompanying statement dropped its past calls for currency depreciation.
Key Quotes:
"However, with another rate cut likely in September, traders sold into the Kiwi's rise. It still managed to close with 0.8% gain on the week. Disappointing UK retail sales provided a palliative for the rate hike fever, and sterling lost a little more than 0.5%. The euro rose 1.25%, and the yen gained about 0.3%."
Key Quotes:
"However, with another rate cut likely in September, traders sold into the Kiwi's rise. It still managed to close with 0.8% gain on the week. Disappointing UK retail sales provided a palliative for the rate hike fever, and sterling lost a little more than 0.5%. The euro rose 1.25%, and the yen gained about 0.3%."