The overall market sentiment is mixed as new virus cases continue rising throughout the world, but most economic indicators came out better than analysts expected. Let’s look at the main market movements.
NZD: another surprise from the RBNZ
Information is not investment advice
The Reserve Bank of New Zealand announced the interest on 12 February at 15:00 New Zealand time. As expected, it was held at 1%. Governor Orr informed that the employment is at if not slightly above its sustainable level, economic growth is expected to accelerate due to monetary policy measures, and household spending growth is increasing. In the meantime, the Coronavirus is believed to bring a short-term effect on New Zealand.
As you can see, the report is pretty upbeat. As a result, NZD leapt by approximately 50 pips!
The market sentiment switched to risk-off after the Fed’s Powell statement. The USD edged higher, while risker assets started falling after reaching quite high levels. Let’s have a closer look.
The overall market sentiment is mixed as investors await the Federal Reserve’s statement today at the evening.
The market sentiment is indeed risk-on today. Stocks, riskier currencies and gold are rising amid the waning US dollar.
The US NFP will be published on August 7 at 15:30 MT time.
The RBA will make a rate statement on August 4 at 7:30 MT time.