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4 Feb 2015
RBNZ’s neutral stance sends NZD/USD higher – TradeTheNews
FXStreet (Barcelona) - The TradeTheNews Team explains that short-covering as a result of RBNZ’s stance to keep rates on hold sent the NZD/USD sharply higher.
Key Quotes
“In New Zealand, Gov Wheeler clarified the RBNZ will keep rates at current level for some time, and only a weakening in domestic demand would warrant a rate cut.”
“Wheeler added house price inflation appears to be rising in Auckland, and New Zealand economic prospects appear to be positive.”
“Traders positioning for a more dovish speech in the wake of the surprise introduction of an easing bias in last week's decision covered their shorts, sending NZD/USD sharply higher.”
“In Australia, PM Abbott lauded lower interest rates delivered by the RBA yesterday in hopes of forestalling a potential leadership challenge from members of his own party.”
Key Quotes
“In New Zealand, Gov Wheeler clarified the RBNZ will keep rates at current level for some time, and only a weakening in domestic demand would warrant a rate cut.”
“Wheeler added house price inflation appears to be rising in Auckland, and New Zealand economic prospects appear to be positive.”
“Traders positioning for a more dovish speech in the wake of the surprise introduction of an easing bias in last week's decision covered their shorts, sending NZD/USD sharply higher.”
“In Australia, PM Abbott lauded lower interest rates delivered by the RBA yesterday in hopes of forestalling a potential leadership challenge from members of his own party.”