NZ Dollar Firms On Hopes Of Increase In Stimulus Payments
The NZ dollar appreciated against its key counterparts in the European session on Tuesday, as the U.S. House vote to increase the amount of stimulus checks in the coronavirus relief package underpinned risk sentiment.
The U.S. House of Representatives had voted on Monday to increase stimulus payments to qualified Americans to $2,000 from $600 and send it to the GOP-controlled Senate.
Although it is not clear about its fate in the Senate, Trump’s signing of pandemic bill lifted the market mood.
The launch of the EU’s vaccination programme spurred hopes for an economic recovery.
The kiwi climbed to 1.0650 against the aussie, its highest level since December 18. The currency is seen facing resistance around the 1.045 region.
The kiwi jumped to 0.7137 versus the greenback from Monday’s closing value of 0.7100. The currency is likely to find resistance around the 0.74 level.
The kiwi advanced to near a 3-week high of 73.96 against the yen, compared to yesterday’s closing quote of 73.68. Next near term resistance for the currency is seen around the 76.00 level.
The NZ currency firmed to 1.7156 against the euro from yesterday’s trading session close of 1.7200. The next possible resistance for the currency is located around the 1.68 level.
Looking ahead, U.S. S&P/Case-Shiller home price index for October is scheduled for release in the New York session.
The material has been provided by InstaForex Company – www.instaforex.com