Back
21 Mar 2013
Forex Flash: NZD/USD to advance towards 0.85 by year end - BNZ
FXstreet.com (Barcelona) - The Kiwi is trading firmer on Thursday, following an upbeat GDP release in New Zealand. According to Mike Jones, currency strategist at BNZ, "NZD/USD settles into the 0.8200-0.8350 range, as expected, with more of the same looking likely near-term, contingent on Cyprus, Italy..."
Mike adds: "We are firm believers that the NZ economy is building up a head of steam, and should continue to grow at a faster pace than our trading partners. This morning’s stellar GDP figures, while backward looking, certainly support this view. Besides, building NZ economic momentum, rising commodity prices, and the less fragile global backdrop all support our view for the NZD/USD to trend higher into year end. Our Q4 forecast is now 0.8500, with a stronger USD the key downside risk to this view."
Mike adds: "We are firm believers that the NZ economy is building up a head of steam, and should continue to grow at a faster pace than our trading partners. This morning’s stellar GDP figures, while backward looking, certainly support this view. Besides, building NZ economic momentum, rising commodity prices, and the less fragile global backdrop all support our view for the NZD/USD to trend higher into year end. Our Q4 forecast is now 0.8500, with a stronger USD the key downside risk to this view."