NZD/USD Fundamental Analysis April 8, 2013 Forecast

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Updated: Aug 21, 2015, 15:00 GMT+00:00

Analysis and Recommendation: The NZD/USD is trading at 0.8394 giving up 30 pips this morning. It was the Bank of Japan's aggressive stimulus measures that

NZD/USD Fundamental Analysis April 8, 2013 Forecast

Analysis and Recommendation:

The NZD/USD is trading at 0.8394 giving up 30 pips this morning. It was the Bank of Japan’s aggressive stimulus measures that provided the real impetus for US markets, with the central bank pledging to buy 7 trillion yen of bonds a month to fight deflation and in turn provide a boost for their economy. It seems this news was enough to at least temporarily distract investors from the disappointing US jobless claims release, which increased more than expected.

The latest New Zealand Manufacturers and Exporters Association (NZMEA) Survey of Business Conditions completed during March 2013, shows total sales in February 2013 increased 2.48% (export sales decreased by 5.60% with domestic sales increasing 15.83%) on February 2012. The NZMEA survey sample this month covered NZ$347m in annualized sales, with an export content of 57%. Net confidence fell to -27, down from the -9 result reported last month.

The kiwi will likely remain tempered today, one way or another, as investors cautiously anticipate the US non-farm payrolls report due tonight. Given that the US jobless claims data under whelmed, there is concern the non-farm payrolls will follow suit, and add to the recent run of bearish signals. If this does occur, another sell off is on the cards, deepening the current correction taking place. On the other hand, a positive report may lead to a bounce against the recent downtrend and provide some welcome relief for equities across the board.

FxEmpire provides in-depth analysis for each currency and commodity we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information in our weekly reports.

Economic Data April 5, 2013 actual v. forecast

Date

Currency

Event

Apr. 05

JPY

BoJ Monthly Report

Upcoming Economic Events that affect the AUD, NZD, JPY and USD

Date	Time	Currency	Event	Previous
Apr. 08	06:00	JPY	Economy Watchers Current Index	53.2
	15:00	USD	CB Employment Trends Index	111.10
	23:00	NZD	NZIER Business Confidence	20