By FX Empire.com
The NZD/USD pair continued its free fall to reach its lowest level in six weeks, with the focus turned to low-yielding currencies such as the yen and greenback, making it hard for the Kiwi to compete.
The EU sovereign debt crisis eroded investors’ confidence and turned the market sentiment to safe haven assets, where the New Zealand dollar lost momentum with the ongoing risk aversion.
On the other hand, the New Zealand currency lost the local support after concerns increased regarding the nation’s current account deficit, in addition to the decline in raw material demand from China is considered the number one trade partner for New Zealand.
On Tuesday at 02:00 GMT the Reserve Bank of New Zealand will release the 2-year Inflation Expectations for the fourth quarter, where the previous reading was 2.9%.
At 13:30 GMT, the U.S. economy will release the annualized Gross Domestic Product for the third quarter, where it’s expected unrevised at 2.5%.
The Personal Consumption for the third quarter is also expected unrevised at 2.4% as well as the Core Personal Consumption Expenditure to hold at 2.1%.
At 19:00 GMT, the Federal Reserve Bank will release its minutes for the Nov. 1-2 FOMC meeting.
Originally posted here
