Market Update RBNZ holds rates NZD Soars – CPI Data – GBPJPY Breakdown

November 13, 2019
by Joseph Jeffriess, Market Analyst

Article Recap

Key Points: President Trump spoke at the NYC economic club, some of his comments;

• China “cheaters,” but he blamed the situation on past U.S. leaders.
• “if it weren’t for the reluctance of the Fed, the stock market’s gains since his election would be significantly higher.”
• “We are actively competing with nations who openly cut interest rates so that now many are actually getting paid when they pay off their loan, known as negative interest,” he said. “Whoever heard of such a thing?” “Give me some of that,” he said. “Give me some of that money. I want some of that money.”
• RBNZ held rates at 1.00%, going against market expectations of a .25% cut. The NZDUZD jumped post decision by 1.30%
• RBNZ Governer Orr: If Circumstances Change We Will Act

Upcoming High-impact economic news:

• 8:30 pm GBP UK CPI
• 12:30 pm USD US CPI – Core CPI
• 03:00 am USD Fed Chair Powell Testifies
• 06:10 am NZD RBNZ Gov Orr Speaks

Traders will be looking to tonight’s CPI data coming out in the UK and in the US. In today’s video, we take a look at the current triangle pattern on the GBPJPY daily chart in light of the upcoming UK CPI data.

The NZD was today’s key mover adding just 1.3% in today’s session to the USD after the RBNZ held rates at 1.0%. The AUD also charged around the release but has fallen back into a flat position. The EURUSD remains higher after yesterday’s solid fall, Zew data remained in the negative which continues the worries around the EU’s largest economy.

All times are AEST.