Investing.com - The New Zealand dollar edged lower against its U.S. counterpart on Thursday, as investors remained cautious over the results of Wednesday’s loan operation by the European Central Bank.
NZD/USD hit 0.7667 during late Asian trade, the daily low; the pair subsequently consolidated at 0.7696, shedding 0.11%.
The pair was likely to find support at 0.7609, the low of December 12 and resistance at 0.7774, Wednesday’s high.
The kiwi came under pressure as the ECB failed to convince markets that its unprecedented three-year loan of EUR489.19 billion would improve banks’ prospects in the euro zone.
The move was hoped to avoid a liquidity crunch in the single currency bloc and to increase bond purchases of indebted euro zone countries.
The amount allotted was the largest ever for a longer-term refinancing operation by the ECB and was met with an unexpectedly heavy demand from 523 European lenders, underlining concerns over the scale of the financial crisis in the euro zone.
Earlier Thursday, official data showed that New Zealand’s gross domestic product rose more-than-expected in the third quarter.
In a report, Statistics New Zealand said that New Zealand’s economy expanded by 0.8%, beating expectations for a 0.6% gain. New Zealand’s GDP grew by an unrevised 0.1% in the previous quarter.
Elsewhere, the kiwi was lower against the euro with EUR/NZD advancing 0.22%, to hit 1.6979.
Trading volumes were thin in many Asian markets ahead of the Christmas holiday weekend, resulting in quiet trade. Markets in Japan were to remain closed Friday.
Later in the day, the U.S. was to publish its weekly report on initial jobless claims, as well as revised data on third quarter GDP. The University of Michigan was also to release revised data on consumer sentiment and inflation expectations.
NZD/USD hit 0.7667 during late Asian trade, the daily low; the pair subsequently consolidated at 0.7696, shedding 0.11%.
The pair was likely to find support at 0.7609, the low of December 12 and resistance at 0.7774, Wednesday’s high.
The kiwi came under pressure as the ECB failed to convince markets that its unprecedented three-year loan of EUR489.19 billion would improve banks’ prospects in the euro zone.
The move was hoped to avoid a liquidity crunch in the single currency bloc and to increase bond purchases of indebted euro zone countries.
The amount allotted was the largest ever for a longer-term refinancing operation by the ECB and was met with an unexpectedly heavy demand from 523 European lenders, underlining concerns over the scale of the financial crisis in the euro zone.
Earlier Thursday, official data showed that New Zealand’s gross domestic product rose more-than-expected in the third quarter.
In a report, Statistics New Zealand said that New Zealand’s economy expanded by 0.8%, beating expectations for a 0.6% gain. New Zealand’s GDP grew by an unrevised 0.1% in the previous quarter.
Elsewhere, the kiwi was lower against the euro with EUR/NZD advancing 0.22%, to hit 1.6979.
Trading volumes were thin in many Asian markets ahead of the Christmas holiday weekend, resulting in quiet trade. Markets in Japan were to remain closed Friday.
Later in the day, the U.S. was to publish its weekly report on initial jobless claims, as well as revised data on third quarter GDP. The University of Michigan was also to release revised data on consumer sentiment and inflation expectations.