New Zealand Dollar Tumbles After Earthquake
The New Zealand dollar slumped today against all other 16
The earthquake of 6.3-magnitude resulted in multiple deaths and ruined buildings. The tragedy intensified the risk aversion sentiment that already was bolstered by the tension in North Africa and Middle East.
NZD/USD dropped from 0.7635 to 0.7491 as of 16:28 GMT today after it reached earlier the intraday low of 0.7454.
If you have any questions, comments or opinions regarding the New Zealand Dollar, feel free to post them using the commentary form below.
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Earlier News About the New Zealand Dollar:
- NZ Dollar Rises on Outlook for Higher Farmer Payouts (2011-02-21)
- New Zealand Retail Sales Declines, Kiwi Remains Flat (2011-02-14)
- New Zealand Dollar Weakens as English Predicts Recession (2011-02-09)
- NZD Benefits from Recovering Economy (2011-01-31)
- New Zealand Dollar Calms Down After Inflation Data (2011-01-20)
3 Comments
Do you think its too late to short NZD? Could i possibly enter in the next asian session?
Why the NZD fell on severe earthquake n crisis, while the opposite is the case with Japan?
Because JPY is considered a safe haven currency, while NZD isn’t. When the earthquake hit Japan, investors sold stocks, converting them to JPY and also retreated from commodities. Another reason for NZD to fall was the interest rate cut (-50 basis points) by their reserve bank.