Investing.com – New Zealand’s dollar soared to a fresh 1-year high against its U.S. counterpart on Wednesday, amid fresh concerns over further U.S. monetary easing following the release of minutes of the last meeting of the banks policy makers.
NZD/USD hit 0.7628 during European afternoon trade, the pair’s highest since October 21, 2009; the pair subsequently consolidated at 0.7613, soaring 0.80%.
The pair was likely to find support at 0.7478, Tuesday’s low and resistance at 0.7760, the high of July 15, 2008.
On Tuesday, the minutes revealed of the September 21 meeting of Federal Open Market Committee revealed that while officials thought it unlikely the U.S. economy would fall into recession again several were concerned that growth would not be strong enough to reduce unemployment for some time.
"Several members noted that unless the pace of economic recovery strengthened or underlying inflation moved back toward a level consistent with the [Fed's] mandate, they would consider it appropriate to take action soon," the minutes said.
The kiwi was also up against the euro, with EUR/NZD tumbling 0.80% to hit 1.8294.
Later in the day, New Zealand was to release official data on retail sales.
NZD/USD hit 0.7628 during European afternoon trade, the pair’s highest since October 21, 2009; the pair subsequently consolidated at 0.7613, soaring 0.80%.
The pair was likely to find support at 0.7478, Tuesday’s low and resistance at 0.7760, the high of July 15, 2008.
On Tuesday, the minutes revealed of the September 21 meeting of Federal Open Market Committee revealed that while officials thought it unlikely the U.S. economy would fall into recession again several were concerned that growth would not be strong enough to reduce unemployment for some time.
"Several members noted that unless the pace of economic recovery strengthened or underlying inflation moved back toward a level consistent with the [Fed's] mandate, they would consider it appropriate to take action soon," the minutes said.
The kiwi was also up against the euro, with EUR/NZD tumbling 0.80% to hit 1.8294.
Later in the day, New Zealand was to release official data on retail sales.