The NZD/USD exchange rate dropped markedly on New Zealand's trade balance data late Monday. The Kiwi lost against the US Dollar 17 base points or 0.23% to touch the 0.7249 mark and to rebound gradually, though the trading session continued in the weaker area of 0.7240-0.7250, where the post-election uncertainties kept supporting the bearish sentiment in the pair.
Statistics New Zealand reported that the country's trade balance marked a NZ$1235M deficit for the month of August, compared with expectations for a fewer deficit of NZ$825M. The Market also remained watching any sings from the Reserve Bank of New Zealand, as its hawkish tone could strengthen the Kiwi.
| Historical Data Table: NZ Trade Balance | |||||
| Date | 23.05.2017 | 26.06.2017 | 25.07.2017 | 23.08.2017 | 25.09.2017 |
| Actual | 578M | 103M | 242M | 85M | -1235M |
| Forecast | 268M | 420M | 147M | -200M | -825M |
| Initial Reaction on Main Pairs | |||||
| Open Price | Close Price | % Change | |||
| AUD/NZD | 1.0926 | 1.09464 | 0.19% | ||
| EUR/NZD | 1.63103 | 1.63456 | 0.22% | ||
| GBP/NZD | 1.85391 | 1.85823 | 0.23% | ||
| NZD/USD | 0.72665 | 0.72496 | -0.23% | ||