The NZD/USD sits a little lower, at 0.8080, this morning.With its epicentre on emerging markets, risk aversioncontinued to impact on markets on Friday night. The ‘risksensitive’ NZD/USD was an obvious casualty.Earlier in the day, NZ trade data showed exports surging.Exports were shown growing 16% while imports grew18.8%, yet another indicator of very strong growthmomentum. Later in the day, Governor Wheeler’s speechprovided little new information, but confirmed a 200bpshiking cycle will soon be starting. However, the NZD/USDdipped following the speech. The market perhaps latchedonto his scenario analysis showing what would be theinterest rate response to a sharp fall in the TWI.
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