Reserve Bank of New Zealand says current high level unsustainable

Written November 10, 2009 at 3:06 PM EST by  

The RBNZ Bollard comments that the current high value is unsustainable.  They also commented that they expect more bank failures as unemployment rises.  The NZ financial system is strong but risks are still elevated.

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The news has sent the NZDUSD lower.  The pair has moved down to support as measured by the 200 bar MA.  That level comes in at the 0.7404 level.  We will be watching this level along with the 100 bar MA on the same chart at the 0.7408.

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