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Forex - NZD/USD pressured by profit-taking, Chinese data

Published 10/17/2013, 11:01 PM
Updated 10/17/2013, 11:02 PM
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Investing.com - The New Zealand dollar traded lower against its U.S. rival Friday on some profit-taking and due to some disappointing data out of China.

In Asian trading Friday, NZD/USD fell 0.26% to 0.8465. The pair was likely to find support at 0.8358, the low of October 15 and resistance at 0.8482, the high of May 9.

Earlier Friday, the National Bureau of Statistics of China said China’s third-quarter GDP rose 7.8% after rising 7.5% in the second quarter. Analysts expected the third-quarter increase of 7.8%.

In a separate report, the National Bureau of Statistics said Chinese industrial production rose 10.2% last month following a 10.4% August increase. Economists expected a September gain of 10.1%.

Chinese retail sales rose 13.3% in September after an August increase of 13.4%, but economists expected a September rise of 13.5%.

Another report showed Chinese fixed asset investment was up 20.2% last month after rising 20.3% in August. Analysts expected a September increase of 20.3%. China is the world’s second-largest economy and New Zealand’s biggest export market.

In U.S. economic news out Thursday, the Labor Department said the number of individuals filing for initial jobless benefits last week declined by 15,000 to a seasonally adjusted 358,000 from a downwardly revised 373,000 in the preceding week.

Analysts had expected U.S. jobless claims to decline to 335,000 last week. A separate report showed that the Philly Fed manufacturing index ticked down to 19.8 from 22.3 in September, but came in above expectations for a reading of 15.0.

The kiwi was a logical beneficiary of news that the U.S. government shutdown had ended, but traders book profits in the currency on speculation the buying was overdone.

Elsewhere, NZD/JPY fell 0.11% to 82.99 while AUD/NZD rose 0.18% to 1.1377.


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