26 Nov 2015
NZD/USD has 0.62 on the crosshairs – Westpac
FXStreet (Edinburgh) - Imre Speizer, Strategist at Westpac, expects the Kiwi dollar to depreciate towards the 0.62 handle vs. the greenback in the next periods.
Key Quotes
“We switch to a neutral bias for the week ahead, but retain negative biases for the month and 3 months ahead”.
“The 0.6500-0.6600 area has contained the pair during the past week, and although the upside does look more vulnerable in the near term, particularly if dairy prices bounce next week, USD strength should limit any rallies”.
“Multi-month, an RBNZ rate cut in December (our forecast; the market is less sure at 55% probability) combined with a Fed hike should send NZD/ USD towards 0.62”.
Key Quotes
“We switch to a neutral bias for the week ahead, but retain negative biases for the month and 3 months ahead”.
“The 0.6500-0.6600 area has contained the pair during the past week, and although the upside does look more vulnerable in the near term, particularly if dairy prices bounce next week, USD strength should limit any rallies”.
“Multi-month, an RBNZ rate cut in December (our forecast; the market is less sure at 55% probability) combined with a Fed hike should send NZD/ USD towards 0.62”.