CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 63% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the High risk of losing your money.

NZD/USD consolidates Tuesday's gains, trades above 0.65 ahead of key events

2019-06-19 18:50

  • The FOMC is expected to keep its policy rate unchanged on Wednesday.

  • US Dollar Index posts small daily losses, sits above 97.50.

  • Statistics New Zealand will release the first quarter GDP data.



After adding 40 pips and closing the day at 0.6535, the NZD/USD has gone into a consolidation phase as investors moving to the sidelines ahead of key events of the day. As of writing, the pair was posting small daily losses at 0.6525.



The greenback, which took advantage of the selling pressure surrounding the euro, gathered strength against its rivals on Tuesday and the US Dollar Index advanced to its highest level in two weeks at 97.77. The dollar's next move is very likely to be triggered by the FOMC statement and Chairman Powell's remarks later today. At the moment, the DXY is down 0.06% on a daily basis at 97.58.



Previewing this event, “We expect clear signals of rate cuts ahead at Chair Powell’s press conference and expect the dot plot to support that message," Nordea Markets analysts said. “We changed our Fed forecast and now expect four rate cuts starting in July, though the Fed is not anywhere near that dovish yet.”



FOMC Preview: What 14 major banks are expecting from June meeting?



On the other hand, in the early trading hours of the Asian session on Wednesday, the Statistics New Zealand will release the first-quarter Gross Domestic Product (GDP) figures, which is expected to show a 2.4% growth on a yearly basis following the 2.3% reading in the last quarter of 2018.



Technical levels to consider





 


This article is published only for general use basic informatory purposes and should not be considered or depended on as a financial or investment advice. Investors should make sure that they understand the risks and seek independent financial advice at all times. CFDS ARE COMPLEX INSTRUMENTS AND COME WITH A HIGH RISK OF LOSING MONEY RAPIDLY DUE TO LEVERAGE.

Economic news

    Exchange Rates

    GBPUSD -0.28% 1.31046
    EURUSD -0.24% 1.18247
    XAUUSD -0.46% 1915.74
    XTIUSD +1.15% 40.491
    NAS100 +0.00% 11685.6
    US30 -0.05% 28206