NZD/USD (current price: 0.7250)
The New Zealand Dollar jumped higher yesterday as the deputy of the RBNZ spoke about the dangers of the rising housing prices in the country, suggesting a possible rate hike and other measures to contain speculation. The currency defied international trends and finished up by almost 1.5% compared to the U.S. Dollar. The pair gained further ground this morning and now it’s above the short-term consolidation pattern that we mentioned in our previous reports, suggesting a possible bullish move.
Our assessment: Kiwi hit a 3-week high this morning despite international worries, and rate hike speculation could drive the value of the currency even higher especially if global sentiment improves.
