Familiar Risks Pull The Rug From Under NZD

NZD/USD went offered Tuesday, as the mix of global tightening of coronavirus restrictions, the spread of the new strain of SARS-CoV-2, Brexit jitters and concern over the new Covid-19 cluster in NSW/Sydney applied pressure to the kiwi. The rate extended its current losing streak to three consecutive sessions, but failed to attack the key $0.7000 level.

• REINZ's annual residential property market review revealed that New Zealanders spent NZ$60.8bn on housing this year, up from last year's NZ$48.7bn. Nationwide median sale price rose 14.9% over the last 11 months.
• StatisticsNZ published indicative trade data covering Feb 1 - Dec 16. The report showed that exports fell 5% Y/Y, while imports rose 9% Y/Y on Dec 1-16.
• Fonterra said that the sale of its two farming hubs in China to China Youran Dairy Group has received the anti-trust clearance. Fonterra expects to finalise the transaction, initially valued at CNY2.21bn, this financial year.
• NZD/USD sits at $0.7045, 5 pips better off as we type. A slide through Dec 21 low/round figure of $0.7003/00 would open up Nov 23 low of $0.6897. Conversely, a rebound above Dec 17 high of $0.7171 would put bulls back in the driving seat.
• Nothing much left on the local docket ahead of the New Year.