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Forex - NZD/USD lower amid Greek debt worries

Published 08/27/2012, 03:03 AM
NZD/USD
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AUD/NZD
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Investing.com - The New Zealand dollar was lower against its U.S. counterpart on Monday, as investors remained focused on developments in the euro zone amid fresh concerns over the handling of Greece’s sovereign debt crisis.

NZD/USD hit 0.8083 during late Asian trade, the daily low; the pair subsequently consolidated at 0.8101, falling 0.14%.

The pair was likely to find support at 0.8042, the low of August 14 and resistance at 0.8259, the high of August 9.

Market sentiment waned after German Chancellor Angela Merkel on Friday rejected Greece’s request to extend the timeframe given to implement its economic reform program.

Following talks with Greek Prime Minister Antonis Samaras, Merkel said it was up to Greece to show that it could implement the austerity measures agreed with its international creditors, but reiterated that the country should stay in the euro zone.

Market participants were looking ahead to Germany's Ifo business climate index later in the day, amid concerns over the economic impact of the debt crisis on the region’s largest economy.

Investors were also anticipating a speech by senior ECB policymaker Joerg Asmussen later Monday.

The kiwi was fractionally higher against the Australian dollar with AUD/NZD easing 0.09%, to hit 1.2814.

Trade was expected to remain thin on Monday, with markets in the U.K. remaining closed for a bank holiday weekend.


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