Free Trial

Dipping Below 100bps For Next Two Fed Meetings

Real-time Actionable Insight

Get the latest on Central Bank Policy and FX & FI Markets to help inform both your strategic and tactical decision-making.

Free Access
KIWI: NZD/USD ran out of steam ahead of its 50-DMA ($0.6598), registering a high
of $0.6596, after stronger than exp. headline NZ CPI generated a bid for the
- Many attributed the strong headline to transitory factors & suggested that the
RBNZ will be happy to look through the release (it is worth noting that the
headline readings topped all exp., including the RBNZ's own projections). As a
reminder, in September the RBNZ stated that "there are welcome early signs of
core inflation rising towards the mid-point of the target. Higher fuel prices
are likely to boost inflation in the near term, but we will look through this
volatility as appropriate. Consumer price inflation is expected to gradually
rise to our 2 percent annual target as capacity pressures bite."
- The RBNZ's own sectoral inflation model was unch. at 1.7% Y/Y in Q3.
- The rate last deals at $0.6565, ~15 pips or so higher on the day, back below
its 21-DMA ($0.6568). Bulls look for a move back above the 21-DMA so that they
can focus on a challenge of the session highs & 50-DMA. Bears ultimately target
initial support at $0.6460, ahead of the YtD low ($0.6425).
MNI London Bureau | +44 0203-865-3809 |
MNI London Bureau | +44 0203-865-3809 |

To read the full story

Why Subscribe to

MNI is the leading provider

of news and intelligence specifically for the Global Foreign Exchange and Fixed Income Markets, providing timely, relevant, and critical insight for market professionals and those who want to make informed investment decisions. We offer not simply news, but news analysis, linking breaking news to the effects on capital markets. Our exclusive information and intelligence moves markets.

Our credibility

for delivering mission-critical information has been built over three decades. The quality and experience of MNI's team of analysts and reporters across America, Asia and Europe truly sets us apart. Our Markets team includes former fixed-income specialists, currency traders, economists and strategists, who are able to combine expertise on macro economics, financial markets, and political risk to give a comprehensive and holistic insight on global markets.