NZD/USD: Positive bias, may target the 0.71-0.72 area - Westpac

Imre Speizer, Research Analyst at Westpac, sticks with a positive bias for NZD/USD for the week ahead, targeting the 0.71-0.72 area.

Key Quotes

“A steady stream of positive fundamental news lends support, helped by speculators’ short positioning. We estimate short-term fair value is around 0.73 at present.”

“Three months ahead: Multi-month, we stick with our bearish outlook, targeting 0.68 by year end (and into the mid-0.60s next year). Higher US interest rates and a stronger broad US dollar should eventually reassert themselves as the dominant trends influencing global markets including NZD/USD.”