New Zealand is expected to release loose monetary signals, and the New Zealand dollar is expected to experience a downward trend in the future

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[b]​Young heart filled with tears, I am the golden carp[/b]
I wrote two paragraphs, but I didn't feel it was appropriate, so I deleted them again


New Zealand's inflation is weak in the third quarter, and the Federal Reserve may need to introduce more stimulus measures
Beijing Time10month23day05:45According to data released by the New Zealand Bureau of Statistics, the third quarter of New ZealandCPIThe annual rate is1.4%, slightly lower than1.5%The previous value of is also lower than1.7%Expected value of. New Zealand Q3CPIThe quarterly rate is0.7%, also lower than0.9%The previous value of.


The economic recovery in New Zealand is slow, but there has been an increase in unemployment, which has put downward pressure on wages and consumer spending. Inflation will significantly weaken next year. As early as this year8In January, the New Zealand Federal Reserve predicted that,2020New Zealand's inflation rate will fall to0.3%Low position. In addition, the New Zealand Federal Reserve has also signaled its readiness to provide more stimulus measures through negative interest rates if needed. The inflation target set by the Federal Reserve of New Zealand is1%-3%。


Gordon, Senior Economist at Westpac Bank in Auckland(Michael Gordon)This result is consistent with the current position of the Federal Reserve of New Zealand that the risks to inflation prospects in New Zealand are all downward, and special monetary policy support will be needed for a long time. Although the New Zealand economy has rebounded rapidly from the pandemic lockdown, it is still far below the growth trend before the outbreak, and we expect this to bring downward pressure to prices


After the report was released, the New Zealand dollar slightly declined and briefly touched0.6660But then there was a slight rebound.
New Zealand Federal Reserve Chairman Orr hinted this week that he is prepared to use a range of monetary policy tools to avoid deflation in the New Zealand economy. Orr said that the failure of monetary policy is causing deflation. Compared to the real challenge of fighting deflation, he is more willing to fight against re curbing high inflation.  


Other important economic data for New Zealand
Rising Food Prices in New Zealand1.2%Local government tax increases3.1%, driving the third quarterCPIThe rise of. Gasoline prices plummeted in the second quarter12%But only rose in the third quarter1.7%。

Other important economic data for New Zealand are as follows:
① Excluding food, fuel, and energyCPIData increased compared to the same period last year1.7%The growth rate is lower than that of the second quarter1.9%And other indicators that measure basic inflation have also slowed down;  
② Trade prices rose in the second quarter0.6%Afterwards, in the third quarter, it turned down1.2%；
③ The prices of non-traded goods, which are less affected by the New Zealand dollar, have increased compared to the previous quarter, driven by rent and local government taxes0.6%；
④ The price of non-tradable goods has increased compared to the same period last year2.6%Below3.1%The previous value of.  
Bank of America said that the New Zealand dollar may be disturbed by external factors, especially the COVID-19 and the global economic recession. Any weakening of risky assets before the US election could put pressure on the New Zealand dollar. Furthermore, considering that the New Zealand Federal Reserve is stillG10The most dovish central bank in the country, as well as the expectation that the US dollar will further strengthen, still believes that the New Zealand dollar will decline before the end of the year.


From a technical perspective today:[align=center][img]http://mpimg.cnfol.com/ueditor/202010/23/1603439307465905.jpg[/img][/align]
There is nothing to look at in terms of technology, the New Zealand dollar will fall against the US dollar in the future, and the inflection point is predicted to be0.669Location. I won't tell you so much about the technical aspect anymore. Even if you say it, you won't understand it. It's useless to say it. As long as you understand, I will0.669Bearish against the New Zealand dollar and a downward trend in the next four hours, it is expected to break below the previous low.
New Zealand is expected to release a loosening signal in the future, which is the fundamental basis and the technical aspect is a double top retreat0.618Fibonacci's pullback, horizontal pressure. Bearish, and there is also the early AUD/JPY high this morning. I left my position for too long and I don't want to take it. Every day I write flashy and analyze well. The world of trading is like success and failure, don't think about worldly wisdom. Profit is the king's way.


Author: Jinshi Dali
Deadline:2020/10/23
The above views are for reference only and do not serve as a basis for firm trading. The article is written by Jinshi Dali, and if reprinting is required, one must obtain their consent or indicate the source. If my article is reprinted without my consent, legal responsibility will be pursued in accordance with the law.