The New Zealand dollar dropped today after the Reserve Bank of New Zealand made a surprise announcement of a quantitative easing program. Currently, the kiwi has trimmed its losses but is still trading below the opening level against its most-traded counterparts, with the exception of the Australian dollar. The Aussie was dragged down by bond purchases under the quantitative easing program of its own central bank.
The New Zealand dollar dropped to new multi-year lows against other most-traded currencies today. Losses were across the board as the kiwi was falling even against other vulnerable commodity currencies. Even the GDP report that came out in line with expectations was unable to help the New Zealand currency.
The New Zealand dollar fell today against other most-traded currencies, logging the fifth consecutive session of decline against its US counterpart. While the kiwi rose a bit yesterday after the government announced a stimulus package, the rally was short-lived as risk aversion dragged the currency down.
The US Federal Reserve was not the only central bank to make a surprise interest rate cut at the start of the week. The Reserve Bank of New Zealand also announced an emergency cut overnight. Unsurprisingly, the New Zealand dollar reacted negatively to the announcement, opening sharply lower at the start of trading. While the kiwi has trimmed losses by now, it is still trading below the opening level against other currencies, even the US dollar.
The Japanese yen was among the strongest currencies on the Forex market today, rising against almost all of its major peers, though not against the Swiss franc, another refuge currency, and the surprisingly strong New Zealand dollar. The worsening coronavirus pandemic was driving investors to safer assets, including the yen. Domestic macroeconomic reports were mixed, giving no reason for the currency to move in any particular direction.
The New Zealand dollar opened sharply lower today as markets were in a panic mode as the coronavirus was spreading from China to other parts of the world. While the currency is trying to trim its losses, it is still trading far below Friday’s close. Mixed domestic macroeconomic data was not helping the kiwi.
The Japanese yen was vulnerable today after the release of an awful report on the country’s gross domestic product. Furthermore, investors were moderately hopeful that China’s efforts to battle the deadly epidemic of a coronavirus will bear fruit. Nevertheless, the yen did not perform that bad considering the circumstances, even managing to gain on some of its rivals.
The New Zealand dollar retreated today after yesterday’s surge caused by the central bank’s monetary policy announcement. But by now, the currency has trimmed its losses and trades not that far from the opening level. The market sentiment put pressure on the currency as traders continued to be worried about the spreading Wuhan coronavirus.
The New Zealand dollar was little changed today as local markets were closed for a holiday. The currency did not show a clear trend yesterday either after the release of mixed employment data in New Zealand.
The New Zealand dollar retreated today following yesterday’s gains. The rally was a result of a faster-than-expected growth demonstrated by New Zealand’s economy in the previous quarter.
