RTTN: NZ Dollar Surges To Fresh 21-month High Against Euro
(RTTNews) - The New Zealand currency edged sharply higher against its major rivals in early trading on Tuesday. The kiwi jumped to a fresh multi-month high against the euro and touched near a 7-week high against the US dollar.
The kiwi climbed to 1.955 against the euro by 7:45 am ET, the highest level since March 27, 2008. On the upside, the New Zealand dollar may challenge resistance near the 1.9280 level. The euro-kiwi pair that closed yesterday's deals at 1.9602 is presently quoted at 1.9602.
In economic news from the euro-area, the Eurozone annual inflation increased to 0.9% in December from 0.5% in November, a flash estimate released by the Eurostat showed today.
At the same time, French consumer confidence unexpectedly dropped to minus 31 in December from minus 30 in November, the first fall in five months.
German unemployment dropped 3,000 in December, data released by the Federal Labor Agency showed today. Economists had forecast an increase of 5,000 in the number of unemployed. The jobless rate was stable at 8.1%.
The New Zealand dollar advanced to near a 7-week high of 0.7394 against the greenback by 7:45 am ET, compared to yesterday's close of 0.7346. The next upside target for the kiwi-buck pair is likely to be seen around the 0.747 level. The pair is presently trading at 0.7375.
The New Zealand currency also drifted higher to 67.94 against the Japanese yen and 1.2414 against the Australian dollar at this time and this may be compared to Monday's closing values of 67.98 and 1.2439, respectively.
The aussie-kiwi and the kiwi-yen pairs are currently trading at 1.2434 and 67.80, respectively. If the kiwi ticks up further, resistance levels are seen at 68.4 against the yen and 1.24 versus the aussie.
Traders are looking forward to the North American session, in which the U.S. pending home sales and factory orders report- both for the month of November are slated for release.
