30 Oct 2013
Asia Recap: USD consolidates gains, Moody's threatens NZ AAA rating
FXstreet.com (Barcelona) - There were little events to report today, with the USD holding onto Tuesday's gains, after a failed half-hearted attempt to expand further up in a rather tepid Asian session.
There was some brief excitement in the New Zealand Dollar though, after a Moody's executive said they had discussed to strip New Zealand its AAA rating. Steven Hess, Senior Vice President at Moody’s, was quoted by Bloomberg, saying “New Zealand stands out as having the largest negative net international investment position from the AAA countries, so we discussed it, but we decided we should not downgrade New Zealand.” NZD/USD saw a flash round trip from 0.8260 to 0.8220 and back up again, mainly due to a conflicting headline from DJ, noting "Moody's Executive Says Comfortable With New Zealand's AAA Rating."
Other majors remain at similar levels ahead of the FOMC meeting, in which no significant change in the policy is expected. EUR/USD appears to be in correction mode, with the latest spike finding enormous selling interest above 1.38.
AUD/USD remains vulnerable, with bounces well capped by the 20-H1 EMA, and barring any major surprise by the Fed, the chances for the Aussie to recover much ground look quite slim. USD/JPY looks set to threather 98.30, top of its daily triangle formation after the solid close above 98.00 Tuesday, while GBP/USD is pressing against a key ascending trendline.
Main headlines in Asia
There should be little market tension on Wednesday's FOMC - Westpac
NZ PM Key: On track for 2-3% annual growth
Latest CFTC confirms specs soldl USD for 4th straight week - Nomura
Australia September HIA New Home Sales (MoM) rises to 6.4% vs 3.4%
Japan's Ind Prod 1.5% m/m 5.4% y/y
Biggest risk is less dovish FOMC reviving USD bulls - BNZ
Top Japanese banks in regulatory probe over organised crime loans
RBNZ to change policy sentence on Thursday - Westpac
Moody's discusses cutting New Zealand from AAA
Dow Jones: Moody's executive comfortable with New Zealand's AAA rating
There was some brief excitement in the New Zealand Dollar though, after a Moody's executive said they had discussed to strip New Zealand its AAA rating. Steven Hess, Senior Vice President at Moody’s, was quoted by Bloomberg, saying “New Zealand stands out as having the largest negative net international investment position from the AAA countries, so we discussed it, but we decided we should not downgrade New Zealand.” NZD/USD saw a flash round trip from 0.8260 to 0.8220 and back up again, mainly due to a conflicting headline from DJ, noting "Moody's Executive Says Comfortable With New Zealand's AAA Rating."
Other majors remain at similar levels ahead of the FOMC meeting, in which no significant change in the policy is expected. EUR/USD appears to be in correction mode, with the latest spike finding enormous selling interest above 1.38.
AUD/USD remains vulnerable, with bounces well capped by the 20-H1 EMA, and barring any major surprise by the Fed, the chances for the Aussie to recover much ground look quite slim. USD/JPY looks set to threather 98.30, top of its daily triangle formation after the solid close above 98.00 Tuesday, while GBP/USD is pressing against a key ascending trendline.
Main headlines in Asia
There should be little market tension on Wednesday's FOMC - Westpac
NZ PM Key: On track for 2-3% annual growth
Latest CFTC confirms specs soldl USD for 4th straight week - Nomura
Australia September HIA New Home Sales (MoM) rises to 6.4% vs 3.4%
Japan's Ind Prod 1.5% m/m 5.4% y/y
Biggest risk is less dovish FOMC reviving USD bulls - BNZ
Top Japanese banks in regulatory probe over organised crime loans
RBNZ to change policy sentence on Thursday - Westpac
Moody's discusses cutting New Zealand from AAA
Dow Jones: Moody's executive comfortable with New Zealand's AAA rating