By FX Empire.com
New Zealand’s currency fell against the greenback on speculation that Asian stock markets will slump amid the current global crisis, while the expectations indicated that the Reserve Bank of New Zealand will leave the rates unchanged at their current levels as the inflation pressures cooled in the third quarter.
The New Zealand’s currency (the Kiwi) fell for a third day as Asian stocks extended a global slump, while demand for the New Zealand currency was also curbed as speculation China may begin monetary policy easing tempered uncertainty about the outcome of European debt-crisis.
On Thursday at 20:00 GMT (Wednesday), the Reserve Bank of New Zealand will announce its rate decision for October, where it’s expected to keep rates steady at 2.50%.
At 21:45 GMT New Zealand will release the Trade Balance for September, where the previous reading showed a deficit of 641 million and it’s expected to shrink to 440 million.
The New Zealand Imports for September will be released at 21:45 GMT, where the expectations refer to 3.90 billion from the previous 4.08 billion. The Exports had a previous reading of 3.44 billion and expected to advance to 3.90 million.
On Thursday the market will react to the final announcement from the EU leaders and what the euro area will do to contain the crisis. This will be the main impact and focus for trading and actually for the coming period, to assess if the measures are strong enough or not.
Also at 12:30 GMT the U.S. economy will release the annualized Gross Domestic Product for the third quarter, where the advanced reading is expected to show a growth of 2.3% from the previous 1.3%.
U.S. Personal Consumption is expected to show a rise of 1.9% from the prior 0.7%, while Core PCE is expected to come at 2.3% in line with the previous quarter.
On Thursday at 12:30 GMT, the U.S. economy will issue its weekly initial claims numbers, where the number of people filing for first-time claims for state unemployment insurance increased 403 thousand last week.
The U.S. Pending Home Sales for September is expected to come at 0.1% from -1.2%, while the annual reading had a prior reading of 13.1%.
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