The New Zealand dollar strengthened against the other major currencies in the early Asian session on Thursday, after data showed that New Zealand’s gross domestic product expanded on quarter in the first three months of 2016.
Data from Statistics New Zealand showed that New Zealand’s gross domestic product expanded 0.7 percent on quarter in the first three months of 2016. That topped forecasts for an increase of 0.5 percent following the 0.9 percent gain in the three months prior.
On a yearly basis, GDP climbed 2.8 percent, again beating expectations for 2.6 percent and up from 2.3 percent in the three months prior.
Wednesday, the NZ dollar fell 0.58 percent against the U.S. dollar, 0.46 percent against the euro, 0.17 percent against the Australian dollar and 0.48 percent against the yen.
In the Asian trading, the NZ dollar rose to 6-day highs of 0.7093 against the U.S. dollar, 1.5879 against the euro and 1.0442 against the Australian dollar, from yesterday’s closing quotes of 0.7033, 1.6006 and 1.0527, respectively. If the kiwi extends its uptrend, it is likely to find resistance around 0.72 against the greenback, 1.58 against the euro, against the aussie and 1.03 against the yen.
Against the yen, the kiwi advanced to a 3-day high of 75.05 from yesterday’s closing value of 74.54. The kiwi may test resistance around the 77.00 area.
Looking ahead, Swiss SECO economic forecasts is due to be released in the pre-European session at 1:45 am ET.
At 3:30 am ET, the Swiss National Bank’s interest rate announcement is due. The central bank is expected to maintain the LIBOR rate at -0.75 percent.
U.K. retail sales data for May and final Eurozone CPI data for May are slated for release later in the day.
At 5:15 am ET, European Central Bank’s governing council member and Austrian National Bank Governor Ewald Nowotny is expected to speak about the monetary union in Vienna.
The Bank of England will announce its interest rate decision and MPC minutes at 7:00 am ET. Economists expect the bank to retain interest rates unchanged at 0.50 percent and asset purchase target at GBP 375 billion.
At 7:45 am ET, DUBLIN – European Central Bank ‘s governing council member and Irish central bank Governor Philip Lane is expected to speak at Irish financial services industry representative body event in Dublin.
In the New York session, U.S. CPI data for May, U.S. weekly jobless claims for the week ended June 11, U.S. current account data for the first quarter, U.S. NAHB housing market index for June and U.S. Philadelphia Fed manufacturing index for June are set to be published.
At 4:00 pm ET, Bank of England Governor Mark Carney will deliver a speech at the Mansion House Bankers’ Dinner, in London.
The material has been provided by InstaForex Company – www.instaforex.com