NZD/USD Fundamental Analysis December 13, 2012 Forecast

Analysis and Recommendation:

The NZD/USD is trading along with the Australian dollar remaining flat at 0.8394. There was no news to affect the kiwi, but global sentiment remains positive which is helping commodity currencies to trade in positive territory. The US dollar is weak ahead of today’s FOMC decision; traders are expecting a new Outright Bond Purchase program to replace the expiring Operation Twist and additional stimulus. Positive sentiment out of China continues to help support the kiwi along with an increase of dairy export forecast.

The New Zealand dollar rose to a nine-month high as it looks to break 84 US cents with the US Federal Reserve set to review monetary policy amid expectations it will roll out the printing presses for a fourth time.

Fed chairman Ben Bernanke is expected to announce interest rates will stay near zero at the end of the Federal Open Market Committee’s two-day meeting, though markets are gearing up for another round of asset purchases. The Fed’s ‘Operation Twist’, which sees the central bank buy long-dated bonds and sell shorter maturities, expires this month and analysts are betting it will be replaced with more asset purchases.

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.

Economic Data December 12, 2012 actual v. forecast

 

 

Upcoming Economic Events that affect the AUD, NZD, JPY and USD

Government Bond Auction

Date Time Country 

Dec 13 01:30 Japan 

Dec 13 09:30 Spain 

Dec 13 10:10 Italy  

Dec 13 10:30 UK 

Dec 13 16:00 US 

Dec 13 18:00 US 

Dec 14 11:00 Belgium 

Dec 14 15:30 UK