The NZDUSD opens at 0.6728 (mid-rate) this morning.
It’s been a subdued start to the trading week with the US enjoying a long weekend however the NZD remains under pressure ahead of tomorrow morning’s inflation report.
There was little reaction to yesterday afternoon’s China data with Q4 growth hitting 6.4% y/y (in line with expectations). The rate of growth was marginally slower than the 6.5% expansion recorded in Q3 and puts full-year growth for 2018 at 6.6%, the slowest annual pace of expansion since 1990.
On a more positive note China’s industrial production and retail sales reports for the month of December exceeded expectations with Industrial production increasing by 5.7% y/y (exp +5.3%) and retail sales rising by 8.2% y/y (exp +8.1%).
This morning British Prime Minister Theresa May rejected calls to delay the UK’s departure from the European Union, and said her Plan B was to have Parliament approve her Brexit agreement after securing changes to a contentious Irish border measure. May said she had “heeded lawmakers’ concerns over the Irish backstop,” and said she will be “talking further this week to colleagues … to consider how we might meet our obligations to the people of Northern Ireland and Ireland in a way that can command the greatest possible support in the House.” Lawmakers are due to vote on May’s Plan B and any possible amendments on the 29th January.
Global equity markets are mixed, Dow Closed, S&P 500 Closed, FTSE +0.03, DAX -0.62%, CAC -0.17%, Nikkei +0.26%, Shanghai +0.56%.
Gold prices are unchanged trading at $1,280 an ounce. WTI Crude Oil prices are have inched higher, up 0.4% trading at $54.23 a barrel.
Current indicative rates: