By FXEmpire.com
Analysis and Recommendation: (close of the Asian session)
The NZD/USD fell to a four-month low over worries that the commitment of new French and Greek governments to austerity measures may waiver, undermining the euro zone economy. Yesterday, IMF Director Lagarde said she would reconsider the balance between austerity and growth. There seems to be a head on collision coming between Merkel and the austerity hawks and the new French President Hollande and the growth advocates.
The kiwi fell to 78.75.. Earlier it touched 78.61 cents, the lowest since January 9.
Bank of New Zealand strategist Mike Jones says the currency could fall to 75 cents in the next few weeks.
Equity markets and commodities fell amid concern Greece’s new government will back away from austerity measures tied to bailout funds.
Economic Reports for May 8-9, 2012 actual v. forecast
|
May 8 |
EUR |
German Industrial Production (MoM) |
2.8% |
0.8% |
-0.3% |
|
Housing Starts |
244.9K |
204.0K |
214.8K |
Upcoming Economic Events that affect the AUD, NZD, JPY, CNY and USD
|
May 10 |
02:30 |
AUD |
Employment Change |
-5.5K |
44.0K |
|
02:30 |
AUD |
Unemployment Rate |
5.3% |
5.2% |
|
|
TBD |
CNY |
Chinese Trade Balance |
7.93B |
5.35B |
|
|
13:30 |
USD |
Import Price Index (MoM) |
-0.2% |
1.3% |
|
|
13:30 |
USD |
Trade Balance |
-50.0B |
-46.0B |
|
|
13:30 |
USD |
Initial Jobless Claims |
369K |
365K |
|
|
13:30 |
USD |
Continuing Jobless Claims |
3278K |
3276K |
|
|
14:30 |
USD |
Fed Chairman Bernanke Speaks |
|||
|
19:00 |
USD |
Federal Budget Balance |
30.0B |
-198.2B |
|
|
May 11 |
02:30 |
CNY |
Chinese PPI (YoY) |
-0.3% |
|
|
02:30 |
CNY |
Chinese CPI (MoM) |
0.2% |
||
|
06:30 |
CNY |
Chinese Fixed Asset Investment (YoY) |
20.9% |
||
|
06:30 |
CNY |
Chinese Industrial Production (YoY) |
11.9% |
||
|
06:30 |
CNY |
Chinese Retail Sales (YoY) |
15.2% |
||
|
13:30 |
USD |
Core PPI (MoM) |
0.3% |
||
|
13:30 |
USD |
PPI (MoM) |
0.0% |
||
|
14:55 |
USD |
Michigan Consumer Sentiment |
76.4 |
Government Bond Auctions (this week)
Date Time Country
May 10 15:00 US
May 10 17:00 US
May 11 09:10 Italy BOT auction
May 11 10:00 Belgium
Click here for updated NZD/USD News.
Originally posted here
