Trial now

Heading North


Modi, AMLO Top Major Economy Leader Poll, Macron Last


Under Pressure


Trend Condition Remains Bearish

KIWI: Tuesday saw NZD/USD edge higher in Asia, but the pair turned its tail as
risk switch was turned to off. A strong U.S. retail sales print helped inspire a
recovery attempt, but the rate dipped again into the WMR fix after Beijing
shuttered all of its schools over a continued increase in new local coronavirus
cases. Geopolitical developments in China/India & the Korean peninsula also
worked against any recovery in sentiment.
- Just in case you missed it, New Zealand is no longer free from coronavirus,
after two women left a quarantine  facility to attend a funeral.
- Westpac hiked its 2020/21 milk price forecast by NZ$0.20, noting that the
impact of Covid-19 on dairy prices has been less severe than exp.
- NZ Q1 current a/c balance, released this morning, roughly matched projections.
- NZD/USD sits at $0.6446, a touch lower on the day. A fall through Jun 15 low
of $0.6381 is needed to expose the 200-DMA/23.6% retracement of the Mar 19 - Jun
10 bull mkt at $0.6322/21. A move through yesterday's peak at $0.6507 would
bring Jun 10 high of $0.6584 into play.
- As a reminder, New Zealand reports Q1 GDP tomorrow.
MNI London Bureau | +44 203-865-3806 |
MNI London Bureau | +44 203-865-3806 |