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Forex - NZD/USD re-approaches 2-month highs in late trade

Published 10/12/2015, 02:18 AM
Kiwi gains ground against greenback, nears multi-month highs
NZD/USD
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AUD/NZD
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Investing.com - The New Zealand dollar edged higher against its U.S. counterpart on Monday, re-approaching a two-month peak as demand for the greenback remained broadly under pressure by the minutes of the Federal Reserve's most recent policy meeting.

Trading volumes were expected to remain thin on Monday, with U.S. markets closed for a national holiday.

NZD/USD hit 0.6707 during late Asian trade, the session high; the pair subsequently consolidated at 0.6707, adding 0.20%.

The pair was likely to find support at 0.6583, the low of October 8 and resistance at 0.6775, the high of July 10.

Minutes from the Fed’s September policy meeting, published on Thursday, showed that most policymakers thought an initial rate hike should still come this year and that financial market turmoil had not "materially altered" the outlook for the U.S. economy.

But the minutes also noted that recent global economic and financial developments may have increased the downside risks to the U.S. economy.

The minutes reinforced expectations that U.S. interest rates will remain on hold until well into 2016.

The kiwi was steady against the Australian dollar, with AUD/NZD at 1.0946.

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