The NZD/USD pair soared to its highest level in almost a month, where the weak US dollar helped the Kiwi to cover most of its previous losses, as the risk appetite returned to the financial market with the beginning of 2012.
The manufacturing data from China,India and Australia supported demand for risky assets as it considered a clear signs for the recovery of the global demand.
On the other hand, the expected recovery in the U.S. manufacturing data in addition to the FOMC minutes opened the way for some optimism to return to the financial market, to support higher yielding currencies such as the New Zealanddollar.
On Wednesday at 12:00 GMT, the American Factory Orders for November will be published, where the expectations refer to 2.0% from the previous drop of 0.4%. While the Total Vehicle Sales for December is expected to come at 13.50 million from the prior 13.59 million.
Originally posted here
