logo

Australian and New Zealand Dollars Brace for Volatility This Week

Australian and New Zealand Dollars Brace for Volatility This Week

Navigating Forex Uncertainty: Australian and New Zealand dollars in Focus

The Australian and New Zealand dollars started the week on a steady note. However, traders should prepare for volatility as major central banks announce policies. The Australian February labor report and New Zealand’s Q4 GDP data will also shape market sentiment.

The Australian and New Zealand dollars Hold Firm Amid U.S. Dollar Weakness

Both currencies have been resilient despite global uncertainties. On Monday, the Australian dollar (AUD) traded at $0.6335, while the New Zealand dollar (NZD) stood at $0.5759. These gains followed a stabilization in U.S. stock markets, supporting risk-sensitive assets.

The U.S. dollar has remained wobbly, preventing further declines in Australian and New Zealand dollars. Market concerns over slowing U.S. growth and trade policies have added pressure on the greenback. According to Richard Franulovich, Westpac's head of currency strategy, the Australian dollar has been testing resistance at $0.6333/35. He expects a potential breakout early this week.

Global Central Banks Set the Tone

The week is packed with key central bank meetings. The U.S. Federal Reserve, the Bank of Japan, and the Bank of England will all decide on interest rates. While no major policy shifts are expected, their outlook on recession risks in the U.S. could drive forex movements.

Chinese policymakers are also set to introduce economic support measures. The latest data showed slight growth in Chinese retail sales in February. These developments may impact both Australian and New Zealand dollars, as China is a significant trading partner.

New Zealand and Australia Brace for Key Economic Data

Traders will closely watch Australia’s labor market data and New Zealand’s Q4 GDP figures on Thursday. Strong data could provide further support for both currencies.

The Australian and New Zealand dollars pair has been under pressure, falling to a three-month low of NZ$1.0982. This drop below the 200-day moving average reflects growing investor confidence in the kiwi, supported by expectations of Chinese stimulus.

Looking Ahead

The forex market remains unpredictable as investors react to global events. Traders should stay updated with the latest economic releases and central bank statements.

👉 Stay informed on Forex market trends! Get the latest insights here: Fixio Markets

Australian and New Zealand Dollars Brace for Volatility This Week

The Australian and New Zealand dollars face a volatile week with central bank decisions and key economic data. Stay updated on forex trends!

Forex Trading Broker Banner

Superior trade execution & trading conditions with the NDD method.

DANIEL JOHN GRADY
Author

Daniel John Grady is a financial analyst and writer. He is a former CFO with a degree in Financial Management and has been published in both English and Spanish. With over ten years of equities trading experience, he is primarily interested in foreign exchange and emerging markets with a focus on Latin America.

You Might Be like also
Comment (0)
Show more

Post Your Comment

user
user
email
Best Trading App Open Your Account Now!!!

The online FX industry provides a platform for investors worldwide to engage in the buying and selling. 

Newsletter Subscription

Subscribe to our daily newsletter and get the best forex trading information and markets status updates

Stay With Us
Currency Exchange
1.00 USD = 0.67 GBP
Best Trading App Open Your Account Now!
Best Trading App Open Your Account Now!
FIXIO Blog
FIXIO Home Home FIXIO Deposit Deposit
FIXIO Promotion Promotion FIXIO Support FAQ
Telegram WhatsApp Instagram X X (Twitter)