21 Jan 2014
AUD/NZD drops on New Zealand CPI
FXstreet.com (Guatemala) - CPI for New Zealand printed 1.6% against a consensus of 1.5% and lifted the bird vs the Australian dollar amongst consensus for a January rate hike.
The result took the pair lower through the 1.06 handle momentarily and now trades currently back on 1.06 at 1.0605. The AUD/NZD pair is under pressure with this result and that coupled with in-line QSBO results along with the weak Australian jobs data gives the bears a taste of what is to come in the main course from the RBNZ. Markets were suspecting that we might see a New Zealand hike in March but odds are now begging to stack up for an even more aggressive RBNZ. RSI (14) is reading 51 with EMA’s printing neutral to bearish for both short term and longer term.
The result took the pair lower through the 1.06 handle momentarily and now trades currently back on 1.06 at 1.0605. The AUD/NZD pair is under pressure with this result and that coupled with in-line QSBO results along with the weak Australian jobs data gives the bears a taste of what is to come in the main course from the RBNZ. Markets were suspecting that we might see a New Zealand hike in March but odds are now begging to stack up for an even more aggressive RBNZ. RSI (14) is reading 51 with EMA’s printing neutral to bearish for both short term and longer term.