New Zealand dollar doing well

Published: 14 Aug at 1 PM Tags: Euro, Dollar,

The dollar is riding slightly up on previous betting. Treasury retail gamblers indicate that the Fed will soon bring in its massive bond-buying programme. The greenback has rocketed to 98.25 yen. All bets are on the central bank will tapering quantitative easing as early as next month.

Following a high of $1.3316, the euro slid to $1.3261, although sentiment was good after strong economic data from Germany. Against a week-low against the yen, the single currency managed to pull back from 127.95 yen to 130.30.

Core retail sales from the US saw a 0.5 per cent rise. This is the biggest push since December last year. The dollar managed to push up 0.5 per cent after last night to 81.771.

The Bank of Japan’s aggressive buying may put some pressure on the greenback. Domestic sales in New Zealand helped the Kiwi to pop from an earlier low of $0.7933 to an impressive $0.7981.

The Reserve Bank of New Zealand may be about to tighten its policy because of underlined expectations. If the central bank can hold on, then analysts believe the brisk pace could continue.