Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Forex - NZD/USD lower after trade balance data

Published 02/27/2012, 02:58 AM
Updated 02/27/2012, 02:58 AM

Investing.com - The New Zealand dollar was lower against its U.S. counterpart on Monday, after New Zealand’s trade balanced unexpectedly fell into a deficit while fresh concerns over the debt crisis in the euro zone weighed on sentiment.

NZD/USD hit 0.8335, the pair’s lowest since February 23; the pair subsequently consolidated at 0.8347, shedding 0.15%.

The pair was likely to find support at 0.8294, the low of February 3 and resistance at 0.8403, the high if February 21.

Statistics New Zealand said earlier that the trade balance swung to a deficit of NZD199 million in January, from a surplus of NZD306 million in December, whose figure was revised down from a surplus of NZD338 million.

Economists had expected the trade surplus to narrow to NZD167 million in January.

Meanwhile, risk appetite also came under pressure after European members were told at the Group of 20 nations’ summit this weekend that they must come up with more financial firepower to fight the region’s debt crisis in return for more help from the rest of the world.

Markets were also jittery as Germany’s parliament was preparing to vote later Monday on a EUR130 billion bailout package for Greece, which was agreed upon by euro zone finance ministers last week.

Sentiment remained supported however as investors looked ahead to the European Central Bank's second liquidity operation, set to take place on Wednesday, after the bank carried out a similar successful operation in December.

Elsewhere, the kiwi was lower against the euro with EUR/NZD adding 0.23%, to hit 1.6127.

Later in the day, the U.S. was to publish industry data on pending home sales.


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.