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Forex - NZD/USD slightly lower after data points

Published 08/06/2013, 09:15 PM
Updated 08/06/2013, 09:16 PM
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Investing.com - The New Zealand dollar traded slightly lower against its U.S. rival during Wednesday’s Asian following the release of several New Zealand data points.

In Asian trading Wednesday, NZD/USD inched fell 0.09% to 0.7895. The pair was likely to find support at 0.7754, the low of July 12 and resistance at 0.7936, the high of August 2.

Earlier Wednesday, Statistics New Zealand said that New Zealand’s unemployment rate rose to 6.4% in the second quarter from 6.2% in the first quarter. Analysts expected a second-quarter reading of 6.3%. New Zealand’s employment change rose 0.4% in the second quarter following a first-quarter increase of 1.7%. Analysts expected the second-quarter increase of 0.4%.

In a separate report, Statistics New Zealand said that New Zealand’s labor cost index was unchanged at 0.4% in the second quarter. Analysts expected a second-quarter reading of 0.5%.

The kiwi has steadied a bit after tumbling on Monday due to reports New Zealand dairy exporter Fonterra found bacteria that could cause food poisoning in some of its products.

Elsewhere, AUD/NZD fell 0.10% to 1.1366 a day after the Reserve Bank of Australia lowered its benchmark interest rate from 2.75% to a record low 2.5%, as expected.

Commenting on the decision, RBA Governor Glenn Stevens said the Aussie dollar "has depreciated by around 15% since early April, although it remains at a high level."

EUR/NZD rose 0.07% to 1.6856 after official data revealed that German factory orders rose by 3.8% in June, surpassing market consensus forecasts calling for a 1.0% gain.

Orders within the euro zone rose 10% last month, while sales outside of the single currency block rose by just 0.9%. Germany is the euro zone’s largest economy. In brighter news, the International Monetary Fund boosted its German growth forecast to 1.4% in 2014 from a previous 1.3% forecasts and maintained its 2013 growth forecast at 0.3% in its annual report on the country.


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