NZD/USD Fundamental Analysis – August 6, 2015 – Forecast

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Published: Aug 5, 2015, 04:19 UTC

Analysis and Recommendation: The NZD/USD continued its decline against the stronger US dollar to trade at 0.6527 down by 13 points. The dollar surged

NZD/USD Fundamental Analysis – August 6, 2015 – Forecast

Analysis and Recommendation:

The NZD/USD continued its decline against the stronger US dollar to trade at 0.6527 down by 13 points. The dollar surged after Federal Reserve Bank of Atlanta President Dennis Lockhart raised market expectations for higher borrowing costs in the coming months. Mr. Lockhart, a voting member on the Fed’s monetary-policy committee, told The Wall Street Journal that only a “significant deterioration in the economic picture” would keep him from voting for the central bank to raise short-term U.S. interest rates for the first time since 2006. The message sparked dollar-buying Tuesday afternoon.

The kiwi dropped, hit by a double whammy as dairy prices declined further at the latest GlobalDairyTrade auction and after a report stoked speculation the Federal Reserve would hike interest rates next month.

The kiwi weakened further after whole milk powder prices sank 10.3 per cent in the GDT auction overnight, raising concerns about the outlook for New Zealand’s key export commodity as the country ramps up seasonal production in an environment of weak demand.

FxEmpire provides in-depth analysis for each currency and commodity we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information in our weekly reports.

Today’s economic releases:

Cur.		Event	Actual	Forecast	Previous
CNY		Caixin Services PMI (Jul)	53.8	52.2	51.8

Upcoming Economic Events that you should be monitoring:

Thursday, August 6, 2015

Cur.	Event	Actual	Forecast	Previous
AUD	Employment Change (Jul)		15.0K	7.3K
GBP	Manufacturing Production (Jun)		0.2%	-0.6%
GBP	BoE Inflation Report
GBP	Interest Rate Decision (Aug)		0.50%	0.50%
GBP	BoE MPC Meeting Minutes
GBP	BoE Gov Carney Speaks