06/12/2015 - Will the FOMC Help the RBNZ Unsettle NZDUSD?

* Will the FOMC Help the RBNZ Unsettle NZDUSD?
* Market Movers: Weekly Technical Outlook
* Look Ahead: Stocks
* Look Ahead: Commodities
* Global Data Highlights

Last week a very dovish Reserve Bank of New Zealand cemented NZDUSD as the pair to watch for FOMC hawks. The RBNZ cut interest rates for the first time in four years and paved the way for further policy loosening; by contrast the FOMC meeting this week may serve to speed up the countdown until rate lift-off in the US. This theme has already driven to NZDUSD to its lowest level in over four years and pushed rates to the all-important psychological support zone around 0.7000.

The market has been pondering the possibility of looser monetary policy in NZ ever since RBNZ Assistant Governor McDermott made some fairly dovish comments about the outlook for interest rates in late April. This sentiment was confirmed by the RBNZ at its policy meeting only a few days later, but it refrained from loosening in favor of a wait-and-see approach.... Full text »

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from FOREX.com's Weekly Strategy http://ift.tt/1d8RLLQ