NZD/USD’s load down and all about the 1hr 200 sma

By FXStreet FXStreet (Guatemala) – NZD/USD is duplicating the ebbs and flows of the Aussie as we lack the kind of drivers seen at the start of the year and a level of stability is coming back into Asian markets with the yuan fix, for example, relatively neutral for the last number of sessions last week and this week.

The equities are driven on commodities, specifically oil and risk appetite is focused there also in the absence of data from China at the moment. The Nikkei closed down -2.43% at 16,017.26 at the lows while Shanghai was up 0.5%.

PBoC changing tactics?

The Chinese however had the PBoC injecting 400bn yuan overnight which was the big news, its biggest OMO injection in three years and this might mean that they are moving away from simply cutting the deposit rate, unless of course they are going to be that drastic and combine the two easing measures to effect a recovery – we will have to see.

Fonterra’s concerns about oil prices and China

In other news, dairy farmers are concerned that Fonterra’s CEO might action cuts to its farmer payouts should the GlobalDairyTrade index continue to drop. The CEO suggested that lower oil and …read more

Source:: FX Street