9 Jul 2014
Correction in NZD/USD could take some time yet - BNZ
FXStreet (Łódź) - According to Raiko Shareef, Currency Strategist at BNZ, June was hallmarked by two blows for the bearish NZD/USD view, delivered by the two central banks critical to that cross, although they are rather to be considered as a delays and not a final hit.
Key quotes
"We caution that the correction in NZD/USD could take some time yet."
"Volatility continues to remain depressed, supporting the appeal of high-yielding currencies like the NZD and AUD."
"And in the absence of any real trend in markets, the carry trade remains king."
"To acknowledge this, we nudge our Q3 and Q4 targets higher. We now see NZD/USD at 0.84 by end-September (from 0.81 previously) and 0.80 by year-end (from 0.79 previously)."
Key quotes
"We caution that the correction in NZD/USD could take some time yet."
"Volatility continues to remain depressed, supporting the appeal of high-yielding currencies like the NZD and AUD."
"And in the absence of any real trend in markets, the carry trade remains king."
"To acknowledge this, we nudge our Q3 and Q4 targets higher. We now see NZD/USD at 0.84 by end-September (from 0.81 previously) and 0.80 by year-end (from 0.79 previously)."