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Forex - NZD/USD falls ahead of Fed, RBNZ statements

Published 10/28/2015, 03:37 AM
Kiwi loses ground vs. greenback with central banks in focus
NZD/USD
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AUD/NZD
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Investing.com - The New Zealand dollar fell against its U.S. counterpart on Wednesday, as markets were jittery ahead of monthly rate decisions by the Federal Reserve and the Reserve Bank of New Zealand due later in the day.

NZD/USD hit 0.6719 during late Asian trade, the pair's lowest since October 22; the pair subsequently consolidated at 0.6727, declining 0.54%.

The pair was likely to find support at 0.6615, the low of October 14 and resistance at 0.6826, the high of October 22.

Later Wednesday, the RBNZ was expected to leave interest rates on hold at 2.75%.

Investors were also looking ahead to the Fed's monetary policy announcement due later in the day for fresh indications on the timing of an initial rate hike.

The greenback came under pressure after the Conference Board said on Tuesday that its index of consumer confidence fell to 97.6 this month from a reading of 102.6 in September.

The report came after U.S. Commerce Department said that total durable goods orders decreased by 1.2% last month, matching forecasts.

Core durable goods orders, which exclude volatile transportation items, fell 0.4% in September, compared to expectations for an increase of 0.1%.

The kiwi was higher against the Australian dollar, with AUD/NZD sliding 0.35% to 1.0593.

Earlier Wednesday, the Australian Bureau of Statistics said the consumer price index rose 0.5% in the third quarter, disappointing expectations for a 0.6% gain and after an increase of 0.7% in the three months to June.

Year-on-year, consumer prices rose 1.5% in the last quarter, below expectations for a 1.7% rise.

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