5 Jun 2015
Bearish on NZD/USD – Westpac
FXStreet (Barcelona) - Imre Speizer of Westpac, maintains a bearish outlook on the Kiwi, expecting a NZD/USD move lower towards 0.6950.
Key Quotes
“We maintain our bearish outlook for NZD/USD. Any near term bounce should be limited to 0.7275, while a resumption of the downtrend will target 0.6950 during the month ahead.”
“Even if the RBNZ disappoints the market’s doves next Thursday, we don’t expect interest rates to bounce much (the 2yr swap could rise by 15bp and NZD/USD could bounce 1.5 cents on an extremely hawkish surprise). The market will remain skeptical and price cuts in July and September, given inflation remains weak.”
Key Quotes
“We maintain our bearish outlook for NZD/USD. Any near term bounce should be limited to 0.7275, while a resumption of the downtrend will target 0.6950 during the month ahead.”
“Even if the RBNZ disappoints the market’s doves next Thursday, we don’t expect interest rates to bounce much (the 2yr swap could rise by 15bp and NZD/USD could bounce 1.5 cents on an extremely hawkish surprise). The market will remain skeptical and price cuts in July and September, given inflation remains weak.”