24 Aug 2015
NZD/USD settled back to 0.65 post five cent drop
FXStreet (Guatemala) - NZD/USD is currently trading at 0.6511 with a high of 0.6688 and a low of 0.6196.
NZD/USD has stabilised as we settle down from the mayhem that was instigated in the Asian open overnight and exaggerated across European and US markets today. The bird followed suit of the Aussie as pressures from the Antipodean nation's main trading partner weighed in heavily.
Naturally, the commodity currencies and EM's were hit the hardest and the bird was no exception and faired poorly to the Aussie with AUD/NZD spiking to 1.1461 from the 1.10 handle on a 15-minute stick at the peak of the turmoil in London markets. NZD/USD lost 350 pips on the same time frame before settling back towards 0.6500 and to where we are oscillating within consolidation.
Where we go from here is hard to say but there is likely to be a stage of stability now that the markets have digested the initial shock and now consolidate the moves.
Lockhart is the next event to monitor for a possible change of the with regard to the Fed's policy on interest rates after the events that took place with the devaluation in the Yuan post his last hawkish comments, indicating that September may be an appropriate time for the Fed to hike. His speech is coming up on the hour. We then look to the RBNZ's inflation expectations Y/Y for Q3 in the Asian shift and the subsequent aftermath of general market activity as China and Asian traders get back online.
NZD/USD has stabilised as we settle down from the mayhem that was instigated in the Asian open overnight and exaggerated across European and US markets today. The bird followed suit of the Aussie as pressures from the Antipodean nation's main trading partner weighed in heavily.
Naturally, the commodity currencies and EM's were hit the hardest and the bird was no exception and faired poorly to the Aussie with AUD/NZD spiking to 1.1461 from the 1.10 handle on a 15-minute stick at the peak of the turmoil in London markets. NZD/USD lost 350 pips on the same time frame before settling back towards 0.6500 and to where we are oscillating within consolidation.
Where we go from here is hard to say but there is likely to be a stage of stability now that the markets have digested the initial shock and now consolidate the moves.
Lockhart is the next event to monitor for a possible change of the with regard to the Fed's policy on interest rates after the events that took place with the devaluation in the Yuan post his last hawkish comments, indicating that September may be an appropriate time for the Fed to hike. His speech is coming up on the hour. We then look to the RBNZ's inflation expectations Y/Y for Q3 in the Asian shift and the subsequent aftermath of general market activity as China and Asian traders get back online.