2 Sep 2013
Flash: NZD/USD set to unravel? eyes NFP – BNZ
FXstreet.com (Lisbon) - The weekend’s upbeat Chinese PMI has seen the NZD/USD pare some of last week’s losses since the opening this morning, notes the BNZ Research Team.
Key quotes
“Improving sentiment towards the Chinese economy and fading prospects for imminent western intervention in Syria may see the NZD/USD continue to recover through the early part of the week.
“Support at the bottom end of the 0.7690-0.8105 range should continue to hold. However, the relative strength of this week’s US data will set direction for the rest of the week. Friday’s nonfarm payrolls stands out as the potential game-changer.”
“A positive number (greater than 180k jobs) would likely lock in a September Fed taper in the eyes of the market, reintroducing downward pressure on the NZD/USD. A sub 150k result would have the opposite effect. While payrolls is the main event, the US ISM manufacturing survey and ADP employment figures will keep US markets busy in lead up.”
Key quotes
“Improving sentiment towards the Chinese economy and fading prospects for imminent western intervention in Syria may see the NZD/USD continue to recover through the early part of the week.
“Support at the bottom end of the 0.7690-0.8105 range should continue to hold. However, the relative strength of this week’s US data will set direction for the rest of the week. Friday’s nonfarm payrolls stands out as the potential game-changer.”
“A positive number (greater than 180k jobs) would likely lock in a September Fed taper in the eyes of the market, reintroducing downward pressure on the NZD/USD. A sub 150k result would have the opposite effect. While payrolls is the main event, the US ISM manufacturing survey and ADP employment figures will keep US markets busy in lead up.”