NZD/USD Fundamental Analysis December 14, 2012, Forecast

Analysis and Recommendation:

The NZD/USD is trading this morning at 0.8448 adding 13pips on the back of the weakened US dollar. The FOMC actions helped lower the value of the US dollar and the commodity currencies such as the kiwi and the Aussie were the prime benefactors as traders continued to add risk to their portfolios.

Also global sentiment, with positive news from China and strong economic data in the US show hopes for a recovery. he New Zealand dollar rose to a four-year high against the yen after the US Federal Reserve cranked up its money printing presses, heightening the appeal of countries offering high interest rates, and as Japan’s general election looks set to usher in a new government.

The kiwi was strong against the Australian dollar too, pushing on 80 Australian cents and closing the day at 79.97 cents from 79.69 cents yesterday and putting new pressure on exporters to New Zealand’s most valuable foreign market.

The Fed ramped up its asset purchase programme with up to US$45 billion in purchases of US Treasuries a month, and will link any future increases in its near-zero benchmark interest rate to bringing the unemployment rate down to 6.5 percent, the central bank said.

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 13, 2012 actual v. forecast

 

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

Government Bond Auction

Date Time Country 

Dec 14 11:00 Belgium 

Dec 14 15:30 UK