The New Zealand dollar strengthened against the other major currencies in the Asian session on Thursday, after data showed that the nation’s retail sales grew more than expected in the first quarter of 2015.
Data from Statistics New Zealand showed that the total value of retail sales in New Zealand advanced a seasonally adjusted 2.7 percent on quarter in the first quarter of 2015, standing at NZ$19.3 billion. The headline figure topped forecasts for an increase of 1.8 percent following the 1.7 percent gain in the three months prior.
Also, data from Business NZ showed that the manufacturing sector in New Zealand continued to expand in April, albeit at a slower pace, with a PMI reading of 51.8. That was down from the upwardly revised 54.6 in March, although it remains above the boom-or-bust line of 50 that separates expansion from contraction.
New Zealand’s manufacturing sector has now been in expansion for 31 straight months, Business NZ said.
Wednesday, the NZ dollar rose 1.40 percent against the U.S. dollar, 0.89 percent against the yen and 0.42 percent against the euro.
In the Asian trading today, the NZ dollar rose to 8-day highs of 0.7562 against the U.S. dollar and 90.09 against the yen, from yesterday’s closing quotes of 0.7481 and 89.14, respectively. If the kiwi extends its uptrend, it is likely to find resistance around 0.76 against the greenback and 91.50 against the yen.
Against the euro and the Australian dollar, the kiwi advanced to 3-day highs of 1.5001 and 1.0725 from yesterday’s closing quotes of 1.5156 and 1.0837, respectively.
Looking ahead, preliminary Japan machine tool orders for April is due to be released.
In the New York session, U.S. jobless claims for the week ended May 9, U.S. PPI for April and Canada new housing price index for March are slated for release.
At 10:00 am ET, European Central Bank President Mario Draghi will give the Michel Camdessus Central Banking Lecture at the International Monetary Fund, in Washington D.C.
At 3:30 pm ET, Bank of Canada Deputy Governor Lynn Patterson is expected to speak at the Chartered Financial Analysts Society, in Vancouver,Canada.
The material has been provided by InstaForex Company – www.instaforex.com