Currency markets exploded into life last week, as the USD blasted higher. The move was centred on USD/JPY, but all of the major currencies were affected. As a result, the NZD/USD finished the week 2.8% lower around 0.8300. Importantly, at least part of the rally in the USD last week was driven by ‘fundamentals’. US bond yields rose steadily through the week. Not only is the US economy continuing to outperform much of the developed world, but market watchers are now starting to contemplate the Fed’s exit QE policies.
Click here to read the full report: FX Daily
NBZ