The New Zealand dollar was above 88 US cents as traders reckoned the possibilities Federal Reserve Chair Janet Yellen would state the US economy has to be stimulated for longer.
The kiwi was at 88.14 US cents at 5:00 p.m. in Wellington. The trade-weighted index was slightly changed at 81.92, near to its all-time high.
Yellen is slated to deliver her semi-annual policy to US Congress on Tuesday and Wednesday, previously indicating the US central bank won’t be rushing to begin increasing interest rates while trimming its bond buying program.
“If Yellen comes out with a comment that implies the first Fed funds rate hike might not be until the second half of next year, we’ll probably see US dollar weakness and in the hunt for yield, the kiwi may try at that high,” said Peter Cavanaugh, Client Adviser at Bancorp Treasury Services.
The currency was slightly changed at 64.78 euro cents and 93.79 Australian cents at 5:00 p.m., as compared to the New York close.
The material has been provided by InstaForex Company – www.instaforex.com
The New Zealand dollar was above 88 US cents as traders reckoned the possibilities Federal Reserve Chair Janet Yellen would state the US economy has to be stimulated for longer.
The kiwi was at 88.14 US cents at 5:00 p.m. in Wellington. The trade-weighted index was slightly changed at 81.92, near to its all-time high.
Yellen is slated to deliver her semi-annual policy to US Congress on Tuesday and Wednesday, previously indicating the US central bank won’t be rushing to begin increasing interest rates while trimming its bond buying program.
“If Yellen comes out with a comment that implies the first Fed funds rate hike might not be until the second half of next year, we’ll probably see US dollar weakness and in the hunt for yield, the kiwi may try at that high,” said Peter Cavanaugh, Client Adviser at Bancorp Treasury Services.
The currency was slightly changed at 64.78 euro cents and 93.79 Australian cents at 5:00 p.m., as compared to the New York close.
The material has been provided by InstaForex Company – www.instaforex.com
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