NZD/USD Fundamental Analysis September 30, 2013 Forecast

Analysis and Recommendation:

The NZD/USD is trading flat at 0.8291 with little data supporting the currency and the US dollar remaining flat, but weak. The New Zealand dollar is heading for a 1 percent weekly decline as investors stay glued to US economic data after the Federal Reserve put plans to taper its monetary stimulus program on hold. A Business Desk survey of seven traders and strategists on Monday predicted the local currency would trade between 82 US cents and 84.80 cents this week. Four picked the currency to decline while two expected it to advance and one said it would be unchanged.

Investors are looking to the latest installment of US political posturing next week when politicians will be asked to lift the federal debt ceiling again next month. The debt cap issue sent markets into turmoil earlier this year as partisan politics left traders wary about the ability of the world’s biggest economy to execute fiscal policy. US employment figures at the end of next week will also be watched closely, as investors look for signs of an economic recovery robust enough to spur the Fed to start unwinding its US$85 billion monthly asset purchases. The BusinessNZ Planning Forecast shows nearly all key indicators for the economy are positive. The manufacturing and services sectors continue to show solid growth, international commodity prices remain firm, and business and consumer confidence are high. The construction sector is growing strongly, led by the Christchurch reconstruction and the flow-on effects of building seismic strengthening. BusinessNZ economist John Pask says data coming out of the major world economies show recent improvement, which is good news for New Zealand exporters.

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 September 27, 2013 actual v. forecast

 

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

Government Bond Auction

Date Time Country 

Sep 30 09:10 Norway

0ct 01 00:30 Japan

Oct 01 09:15 Austria

Oct 01 09:30 Belgium

Oct 01 14:30 UK

Oct 02 09:10 Sweden

Oct 03 08:30 Spain

Oct 03 08:50 France

Oct 03 09:30 UK

Oct 03 11:00 Norway