News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Bearish
Gold
Bearish
GBP/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Mixed
More View more
Real Time News
  • US Equities Update (Wednesday Close): $DJI -1.92% $SPX -2.37% $NDX -3.16% $RUT -3.04% $VIX +7.86%
  • Indices Update: As of 20:00, these are your best and worst performers based on the London trading schedule: US 500: -0.03% Wall Street: -0.03% Germany 30: -0.87% FTSE 100: -0.88% France 40: -0.89% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/Je9EmV34kz
  • Looks like we got everyone's view on it: https://t.co/Y0zskurvsB
  • Commodities Update: NYM WTI Crude 39.83 (+0.08%), ICE Brent Crude 41.69 (-0.07%), NYM NYH Gasoline 117.81 (+1.19%). [delayed]
  • Today's webinar recording if you missed it live - https://t.co/JyBaVkbzI8
  • US Dollar Price Action Setups: EUR/USD, GBP/USD, AUD/USD https://www.dailyfx.com/forex/analyst_picks/todays_picks/james_stanley/2020/09/23/US-Dollar-Price-Action-Setups-USD-EUR-USD-EURUSD-GBP-USD-GBPUSD-AUD-USD-AUDUSD.html https://t.co/mXFX1rWAr0
  • Canadian #Dollar Outlook: $USDCAD Breakout Levels- Bull’s First Test - https://t.co/sDdpxq3Zxd https://t.co/mFLUeJ8sY2
  • Commodities Update: As of 18:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 0.05% Gold: -1.79% Silver: -5.98% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/wrmWnBAFaX
  • TikTok files for a preliminary injunction against Trump ban - BBG
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.16%, while traders in NZD/USD are at opposite extremes with 63.82%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/BUdnibnuey
New Zealand Dollar Gains as CPI Data Boosts RBNZ Rate Hike Bets

New Zealand Dollar Gains as CPI Data Boosts RBNZ Rate Hike Bets

2017-01-25 23:59:00
Daniel Dubrovsky, Analyst
Share:

Talking Points:

  • New Zealand Dollar rallied against its peers after better-than-expected CPI data
  • Government bond yields rallying showed RBNZ rate hike expectations building
  • Markets price in at least one rate hike in the next 12 months, but not next month

Have a question about trading the markets? Join a Q&A webinar and ask it live!

The New Zealand Dollar appreciated against its major counterparts after better than expected CPI data helped boost RBNZ rate hike expectations. In the fourth quarter, New Zealand consumer prices rose 1.3 percent y/y versus 1.2 percent expected and 0.4 percent in the third quarter. This marks the highest reading since June 2014. CPI increased 0.4% q/q versus 0.3% expected and 0.3% prior.

The data’s release was accompanied by surging New Zealand front-end government bond yields, hinting at a hawkish shift in the policy outlook. While the markets are not expecting the Reserve Bank of New Zealand to hike rates at its next meeting on February 9th, they are pricing in at least one over the next 12 months.

At its meeting on November 10th, the RBNZ reduced its main lending rate by 25 basis points to 1.75 percent. It left the markets with a view that current policy will deliver strong-enough growth to have inflation settle near the middle of the target range and that its efforts might need to be adjusted accordingly. The next interest rate decision may reveal whether or not this data was sufficient to nudge officials out of this passive posture.

New Zealand Dollar Gains as CPI Data Boosts RBNZ Rate Hike Bets

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES