Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious OutperformanceFind Stocks Now

Forex - Kiwi drops against broadly stronger greenback

Published 03/02/2015, 02:32 AM
Updated 03/02/2015, 02:32 AM
Kiwi declines vs. greenback after U.S. GDP report

Investing.com - The New Zealand dollar dropped against its U.S. counterpart on Monday, as demand for the greenback remained broadly supported by Friday's upbeat U.S. economic growth data.

NZD/USD hit 0.7521 during late Asian trade, the pair's lowest since February 26; the pair subsequently consolidated at 0.7524, retreating 0.58%.

The pair was likely to find support at 0.7479, the low of February 25 and resistance at 0.7613, the high of February 26.

The greenback remained supported after the Commerce Department reported on Friday that U.S. gross domestic product grew at an annual rate of 2.2% in the last three months of 2014, down from an initial estimate of 2.6% but ahead of expectations for a downward revision to 2.1% growth.

In addition, the February reading of the University of Michigan's consumer sentiment index was revised up to 95.4 from the preliminary reading of 93.6. While this was down from the previous months final reading of 98.1, it was still the second highest level since January 2007.

The kiwi was lower against the Australian dollar, with AUD/NZD edging up 0.10% to 1.0330.

Also Monday, the Australian Bureau of Statistics reported that company operating profits fell 0.2% in the fourth quarter of 2014, compared to expectations for a 0.3% rise. The third quarter's figure was revised to a 0.4% decline from a previously estimated 0.5% increase.

A separate report showed that Australia's new home sales increased by 1.8% in January, after a 1.9% slide the previous month.

In addition, the Melbourne Institute said that its inflation gauge was flat in February after a 0.1% uptick in January.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Later in the day, the Institute of Supply Management was to report on U.S. manufacturing activity.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.