HiFX Morning Update, July 14 2016

HiFX Morning Update, July 14 2016

NZDUSD 0.7272 -0.5%
NZDEUR 0.6553 -0.7%
NZDGBP 0.5534 0.5%
NZDJPY 75.93 -0.7%
NZDAUD 0.9563 -0.1%
NZDCAD 0.9443 -0.7%

The NZDUSD opens at 0.7272 (mid-rate) this morning.

Commodity linked currencies including the NZD are slightly lower on the open this morning as oil prices fell sharply on fears of a global supply glut after the U.S. Energy Information Administration cut its forecast for U.S. oil demand growth in 2016.

Overnight Euro-zone industrial production decreased more than expected in May with the report showing a fall or 1.2% vs. economists estimates of a 0.8% drop. There was better news out of France with France’s consumer prices increasing in line with economist’s estimates rising by 0.2%y/y in the month of June.

Overnight, tonight the Bank of England meet for the first time since the Brexit referendum with the market pricing in an 80% chance of a rate cut.

Again we have little in the way of NZ data releases today but Australia’s monthly employment data should dictate direction for the NZDAUD cross.

Global equity markets are mixed - Dow +0.12%, S&P 500 +0.09%, FTSE -0.15%, DAX -0.33%, CAC +0.09%, Nikkei +0.84%, Shanghai +0.37%.

Gold prices have rebounded overnight currently up $9 at $1,343 an ounce, WTI Crude Oil is back on the back foot currently down 4.1% trading at $45.60 a barrel.

ends

© Scoop Media