HiFX Morning Update, September 26 2016
HiFX Morning Update, September 26 2016
NZDUSD
0.7235 -1.2%
NZDEUR 0.6445
-1.8%
NZDGBP 0.5585 -1.0%
NZDJPY
73.15 -0.8%
NZDAUD 0.9495
-0.6%
NZDCAD 0.9531 -1.2%
The NZDUSD opens at 0.7235 (mid-rate) this morning.
The NZD continued to slip lower on Friday closing out the week at 0.7245 against the USD. The move lower is a direct result of Thursday’s Reserve Bank statement with Gov Wheeler reiterating that further interest rate cuts are on the cards.
Over the weekend the Euro-zone private sector grew at the slowest pace in 20 months in September. The flash composite output index fell to 52.6 in September from 52.9 in August. In contrast the flash factory Purchasing Managers' index which had been expected to fall to 51.5, improved to 52.6 in September from 51.7 in August.
The week ahead has very little in the way of local economic data releases and direction is likely to be dictated US economic reports and Fed Chair Yellen’s testimony on Thursday night.
Global equity markets finished the week broadly lower - Dow -0.71%, S&P 500 -0.57%, FTSE -0.03%, DAX -0.44%, CAC -0.47%, Nikkei -0.32%, Shanghai -0.28%.
Gold prices gained 2.4% over the course of the week closing on Friday at $1,337 (-1.8% on the day) an ounce, WTI Crude Oil lost 4% on Friday its largest one day fall in two months closing at $44.48 a barrel.
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