Investing.com - Last week saw the New Zealand dollar close higher against its U.S. counterpart as concerns over the sovereign debt crisis in the euro zone eased and as the worst flooding in over 35 years diminished the appeal of the Australian dollar.
NZD/USD hit 0.7726 on Friday, the pair’s highest since January 4; the pair subsequently consolidated at 0.7658 by close of trade on Friday, jumping 1.04% over the week.
The pair is likely to find support at 0.7561, last Wednesday’s low and resistance at 0.7726, Friday’s high.
On Friday, the Peoples Bank of China announced that it is to raise the reserve requirement ratio for lenders for the fourth time in two months as part of ongoing efforts to tame surging inflation.
Following the announcement, the kiwi reversed the day’s gains, retreating from an eight day high, as commodity prices retreated. China is New Zealand’s second largest trading partner.
Earlier in the week, the kiwi advanced as risk appetite sharpened following a series of well received euro zone debt auctions. The currency was also boosted after Statistics New Zealand said residential building permits issued in November rose by 8.8%, after declining by a revised 1.8% in October.
The data added to signs the economy expanded in the fourth quarter, avoiding a recession after gross domestic product unexpectedly shrank 0.2% in the third quarter, due partly to damage from September’s earthquake.
In the week ahead, the U.S. is to release key data on the housing sector, with reports on building permits, housing starts and existing home sales. The country is also to publish data on manufacturing activity and the weekly report on initial jobless claims.
Meanwhile, New Zealand is to publish data on inflation and retail sales.
Ahead of the coming week, Investing.com has compiled a list of these and other significant events likely to affect the markets. The guide omits Friday, as there are no relevant events on that day.
Monday, January 17
In the U.S., markets will remain closed in observance of Martin Luther King Day.
Meanwhile, New Zeland is to publish official data on food price inflation.
Tuesday, January 18
The U.S. is to publish official data on manufacturing activity in New York State, a leading indicator of economic health. The country is also to publish official data on the balance of domestic and foreign investment.
Wednesday, January 19
The U.S. is to publish official data on building permits, an excellent gauge of future construction activity, as well as a report on housing starts, an important indicator of current activity in the sector.
Later in the day, New Zealand is to publish key quarterly data on consumer price inflation, which accounts for a majority of overall inflation.
Thursday, January 20
The U.S. is to publish its key weekly report on jobless claims, a leading indicator of economic health. The country is also to publish official data on existing home sales as well as data on manufacturing activity in Philadelphia.
Meanwhile, New Zealand will round up the week by publishing official data on retail sales, the primary gauge of consumer spending, which accounts for the majority of overall economic activity.
NZD/USD hit 0.7726 on Friday, the pair’s highest since January 4; the pair subsequently consolidated at 0.7658 by close of trade on Friday, jumping 1.04% over the week.
The pair is likely to find support at 0.7561, last Wednesday’s low and resistance at 0.7726, Friday’s high.
On Friday, the Peoples Bank of China announced that it is to raise the reserve requirement ratio for lenders for the fourth time in two months as part of ongoing efforts to tame surging inflation.
Following the announcement, the kiwi reversed the day’s gains, retreating from an eight day high, as commodity prices retreated. China is New Zealand’s second largest trading partner.
Earlier in the week, the kiwi advanced as risk appetite sharpened following a series of well received euro zone debt auctions. The currency was also boosted after Statistics New Zealand said residential building permits issued in November rose by 8.8%, after declining by a revised 1.8% in October.
The data added to signs the economy expanded in the fourth quarter, avoiding a recession after gross domestic product unexpectedly shrank 0.2% in the third quarter, due partly to damage from September’s earthquake.
In the week ahead, the U.S. is to release key data on the housing sector, with reports on building permits, housing starts and existing home sales. The country is also to publish data on manufacturing activity and the weekly report on initial jobless claims.
Meanwhile, New Zealand is to publish data on inflation and retail sales.
Ahead of the coming week, Investing.com has compiled a list of these and other significant events likely to affect the markets. The guide omits Friday, as there are no relevant events on that day.
Monday, January 17
In the U.S., markets will remain closed in observance of Martin Luther King Day.
Meanwhile, New Zeland is to publish official data on food price inflation.
Tuesday, January 18
The U.S. is to publish official data on manufacturing activity in New York State, a leading indicator of economic health. The country is also to publish official data on the balance of domestic and foreign investment.
Wednesday, January 19
The U.S. is to publish official data on building permits, an excellent gauge of future construction activity, as well as a report on housing starts, an important indicator of current activity in the sector.
Later in the day, New Zealand is to publish key quarterly data on consumer price inflation, which accounts for a majority of overall inflation.
Thursday, January 20
The U.S. is to publish its key weekly report on jobless claims, a leading indicator of economic health. The country is also to publish official data on existing home sales as well as data on manufacturing activity in Philadelphia.
Meanwhile, New Zealand will round up the week by publishing official data on retail sales, the primary gauge of consumer spending, which accounts for the majority of overall economic activity.