New Zealand’s Interest Rate Decision
NZ is going to release interest rate decision at 0200 GMT/0730 IST along with the rate statement. It’s among the primary tools the RBNZ uses to communicate with investors about monetary policy. It contains the outcome of their decision on interest rates and commentary about the economic conditions that influenced their decision. Most importantly, it discusses the economic outlook and offers clues on the outcome of future decisions. Market has forecasted stable interest rate at 0.25 pct only but focus turns on the tone of the policy statement, will it be hawkish or dovish? RBNZ has schedule to release interest rate decisions 7 times per year.
Let’s see how NZD has reacted during the previous data release:
NZD/USD: The kiwi depreciates against U.S. dollar on Tuesday and hits fresh 2 – week low at $0.6638 mark. Pair made intraday high at $0.6687 and low at $0.6638 mark. Key resistances are seen at $0.6712, $0.6749, $0.6789, $0.6824, $0.6867 and $0.6910 mark respectively. Alternatively, a consistent close below $0.6667 will drag the parity down towards key supports around $0.6618, $0.6547, $0.6499, $0.6476, $0.6420, $0.6380, $0.6356, $0.6289, $0.6240 mark respectively.
Take a look and do trade wisely!