Daily Currency Update

NZD - New Zealand Dollar

The New Zealand dollar is weaker this morning when valued against the Greenback falling to an overnight low of 0.6528. There has been a real lack of volatility in the Kiwi with the range of the past 24 hours extending to about 30pips from the 20pips the previous day.

Looking ahead today and all eyes will be on the New Zealand Government's half-year economic and fiscal update where we expect to see an announcement of more stimulus that lies ahead. On Thursday we will see the release of Food Price Index (FPI) and Visitor Arrivals.

From a technical perspective, the NZD/USD pair is currently trading at 0.6546. We continue to expect support to hold on moves approaching 0.6520 while now any upward push will likely meet resistance around 0.6570.

Key Movers

The Euro was a key mover overnight after a better-than-expected German economic sentiment survey boosted the common currency. German ZEW survey which beat expectations, as the country’s Economic Sentiment jumped to 10.7 in December, while for the whole Union was up to 11.2, both largely surpassing the market’s expectations. On the release front in the US overnight Q3 Non-farm Productivity declined by 0.2%, while Unit Labor Cost for the same period rose by 2.5%, both well below the market’s expectations.

From a technical perspective, the EUR/USD pair is currently trading at 1.1095. We continue to expect support to hold on moves approaching 1.1065 while now any upward push will likely meet resistance around 1.1120.

Expected Ranges