Investing.com – New Zealand’s dollar soared to a fresh 3-day high against its U.S. counterpart on Monday, after the release of better-than-expected U.S. data on existing home sales.
NZD/USD hit 0.7562 during European afternoon trade, that pair’s highest since October 20; the pair subsequently consolidated at 0.7555, soaring 1.18%.
The pair was likely to find support at 0.7434, last Friday’s low and resistance at 0.7624, the high of October 14 and a 1-year high.
Earlier in the day, the National Association of Realtors said that existing home sales rose for the second consecutive month in September, rising to a seasonally adjusted 4.53 million units, after rising to a revised 4.12 million units in August. Analysts had expected existing home sales to rise to a seasonally adjusted 4.25 million units in September.
Commenting on the report, Lawrence Yun, chief economist for NAR said, “A housing recovery is taking place, but will be choppy at times depending on the duration and impact of a foreclosure moratorium.”
He added, “the overall direction should be a gradual rising trend in home sales with buyers responding to historically low mortgage interest rates and very favorable affordability conditions".
The kiwi was also up against the euro, with EUR/NZD tumbling 0.77% to hit 1.8537.
Over the weekend the leaders of the G20 group of industrial and emerging nations agreed on the need to refrain from currency devaluations and move toward market-based exchange-rate systems.
NZD/USD hit 0.7562 during European afternoon trade, that pair’s highest since October 20; the pair subsequently consolidated at 0.7555, soaring 1.18%.
The pair was likely to find support at 0.7434, last Friday’s low and resistance at 0.7624, the high of October 14 and a 1-year high.
Earlier in the day, the National Association of Realtors said that existing home sales rose for the second consecutive month in September, rising to a seasonally adjusted 4.53 million units, after rising to a revised 4.12 million units in August. Analysts had expected existing home sales to rise to a seasonally adjusted 4.25 million units in September.
Commenting on the report, Lawrence Yun, chief economist for NAR said, “A housing recovery is taking place, but will be choppy at times depending on the duration and impact of a foreclosure moratorium.”
He added, “the overall direction should be a gradual rising trend in home sales with buyers responding to historically low mortgage interest rates and very favorable affordability conditions".
The kiwi was also up against the euro, with EUR/NZD tumbling 0.77% to hit 1.8537.
Over the weekend the leaders of the G20 group of industrial and emerging nations agreed on the need to refrain from currency devaluations and move toward market-based exchange-rate systems.