NZD/USD erases gains and plummets to 0.8545, 20-day low

FXStreet (Córdoba) - The NZD/USD failed to hold to gains and weakened sharply on European hours, falling to 0.8545, the lowest price since April 4. The Kiwi soared across the board after the RBNZ announced an expected rate hike of the official cash rate to 3% and also increased growth expectations.

NZD from best to worst

During the Asian session the pair peaked at 0.8636, 1-week high, then moved slightly to the downside, but accelerated sharply on European hours after pulling back below 0.8620. After bottoming at 0.8545 price bounced slightly to the upside and in the last hour it has been moving in a range between 0.8550 and 0.8570.

The Kiwi was the best performer among majors during the Asian session but the worst since the beginning of the European.

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