A fourth consecutive decrease to the GDT index has had little effect on the NZD. This morning’s auction saw the overall index fall 0.6% with a total 17,222MT selling under the hammer.
The EUR is under pressure following disappointing manufacturing activity growth and an unexpected fall in retail sales in Germany. The IHS Markit report showed the Purchasing Managers’ Index fell to 56.6 in March down from 58.6 in February, while Germany’s retail sales declined for the third consecutive month down 0.7% m/m in February confounding economists who had forecast sales to increase by 0.8%.
The UK manufacturing sector continues to expand at a steady pace with March PMI inching up to 55.1 in March following a 55.0 reading in February. Economists had expected the index to edge down to 54.7.
This afternoon’s Australian retail sales report will dictate direction for the NZDAUD cross rate, while overnight, tonight investors will look to this month’s US ADP employment report for USD direction. Economists are forecasting an increase of 208k jobs following on from last month’s 235k jobs increase.
Global equity markets are mixed – Dow +0.04%, S&P 500 +0.23%, FTSE -0.37%, DAX -0.78%, CAC -0.29%, Nikkei -0.45%, Shanghai -0.84%.
Gold prices are down 0.8% trading at $1,332 an ounce. WTI Crude Oil prices are up 0.8% over the past 24 hours, trading at $63.32 a barrel.
Current indicative rates:
Upcoming Data releases (NZST):
- 13:30 – AUD – Retail Sales
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