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The Opening Bell: Where currencies start on Monday, May 25, 2015

Currencies
The Opening Bell: Where currencies start on Monday, May 25, 2015

By Dan Bell

The NZDUSD opens at 0.7320 (mid-rate) this morning.

The USD closed out the week sharply higher against all its major competitors, after the U.S Core CPI m/m came in ahead of economists estimates 0.3% vs exp 0.2%, and comments from Fed Chair Yellen in a speech to the Chamber of Commerce.

The Fed now believe that the labour market is "approaching full strength," and unemployment should fall to near 5 percent by the end of the year. Yellen went on to state, "delaying action to tighten monetary policy until employment and inflation are already back to our objectives would risk overheating the economy," 

Global equity markets closed out the week mixed - Dow -0.29%, Nikkei+0.30%, Shanghai +2.83%,FTSE +0.26%, DAX -0.42%, CAC -0.07%

Gold prices closed out the week a shade lower at $1205 an ounce, Oil (WTI) closed out the week down 1.65% at 59.72  a barrel.

The current indicative mid-rates are:

NZDUSD           0.7320
NZDEUR           0.6650
NZDGBP           0.4725
NZDJPY             88.90
NZDAUD           0.9345
NZDCAD           0.8985

There are no domestic data releases today.


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Dan Bell is the senior currency strategist at HiFX in Auckland. You can contact him here »

Daily exchange rates

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Source: RBNZ
Source: RBNZ
Source: RBNZ
Source: RBNZ
Source: RBNZ
Source: RBNZ
Source: RBNZ
Source: CoinDesk

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