By FXEmpire.com
Analysis and Recommendation: (close of the Asian session)
The NZD/USD is following its neighbors, falling on market sentiment and risk aversion. The pair are trading at 0.7560.
The kiwi dollar dropped after Moody’s cut the ratings on Spanish banks amid speculation Europe’s debt crisis is spreading, sapping investors’ appetite for higher-yielding, or riskier, assets.
The NZD fell as low as 0.7564 this morning.
That’s the lowest the kiwi has fallen since December 20. It traded at 0.7562 at 5pm. The New Zealand dollar is poised for a 3.5% decline this week after Moody’s downgraded 16 Spanish banks including, recently nationalized Bankia SA. Nine firms were cut three notches, while seven were kept on review.
The main drivers for the cuts included rising loan defaults and the renewed risk of a recession.
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 May 17, 2012 actual v. forecast
|
Foreign Securities Purchases |
-2.08B |
9.34B |
12.54B |
|
|
USD |
Initial Jobless Claims |
370K |
365K |
370K |
|
CAD |
Wholesale Sales (MoM) |
0.4% |
0.4% |
1.5% |
|
USD |
Continuing Jobless Claims |
3265K |
3235K |
3247K |
|
MXN |
Mexican GDP (YoY) |
4.60% |
4.50% |
3.90% |
|
USD |
Philadelphia Fed Manufacturing Index |
-5.8 |
10.0 |
8.5 |
Upcoming Economic Events that affect the AUD, NZD, JPY and USD
|
May 22 |
3:00 |
NZD |
Inflation Expectations q/q |
2.5% |
|
14:00 |
USD |
Existing Home Sales |
4.48M |
|
|
23:50 |
JPY |
Trade Balance |
-0.62T |
|
|
May 23 |
0:00 |
AUD |
CB Leading Index m/m |
0.0% |
|
0:30 |
AUD |
MI Leading Index m/m |
0.2% |
|
|
TBD |
JPY |
Monetary Policy Statement |
||
|
TBD |
JPY |
Overnight Call Rate |
|
|
|
TBD |
JPY |
BOJ Press Conference |
||
|
14:00 |
USD |
New Home Sales |
328K |
|
|
14:30 |
USD |
Crude Oil Inventories |
||
|
22:45 |
NZD |
Trade Balance |
134M |
|
|
May 24 |
2:00 |
NZD |
Annual Budget Release |
|
|
5:00 |
JPY |
BOJ Monthly Report |
||
|
12:30 |
USD |
Core Durable Goods Orders m/m |
-0.8% |
|
|
12:30 |
USD |
Unemployment Claims |
||
|
12:30 |
USD |
Durable Goods Orders m/m |
-4.0% |
|
|
23:30 |
JPY |
Tokyo Core CPI y/y |
-0.5% |
|
|
May 25 |
TBD |
ALL |
G8 Meetings |
|
|
13:55 |
USD |
Revised UoM Consumer Sentiment |
Click here a current NZD/USD Chart.
Originally posted here
