New Zealand Interest Rates

Fx News Spike Signals by Crazy Cat, 2019/05/07

Release Time: 22:00 New York time (EST)
Primary currency pair: NZD/USD
Forecast: 1.50
Prior: 1.75
LT1 (Lower Trigger 1): 0.00 [SELL] (means a 0.25% cut)
UT1 (Upper Trigger 1): +0.25 [BUY] (means no change)
Safety: 1

There are 20 estimates, and 14 economists expect a cut from 1.75% to 1.50% while 6 economists expect no change in interest rates this time. The median estimate is 1.50% and the average estimate is 1.58%. One standard deviation is 0.11.

If they cut to 1.50% or lower ( 0.00 deviation in this case), NZD/USD should go down a bit but don't bet big money here. 70% of the surveyed economists expect this scenario so the market might be already priced in. It is surely worthy to give a try but as always with the interest rates, be careful.

If there is no change in interest rates (+0.25 deviation in this case as the market expects the cut), then NZD/USD should go up quite a bit. Since the market is expecting the cut, no cut would be equivalent of raising the interest rate, hence strong possibility of NZD/USD going up.

If they hike the rates to 2.00% or higher (+0.50 deviation in this case), it would be an excellent buy signal on NZD/USD but it's extremely unlikely to happen.

As always with the interest rates, be careful and do not overtrade it. Usually, interest rates are released on time.

Forex news history and charts

Go back to the Forex Market News listing
Copyright © 2014 Secret Weapons LLC. All Rights Reserved.   問い合わせ | 提携プログラム | 個人情報保護方針