Global macro overview for 09/06/2016:
The Reserve Bank of New Zealand (RBNZ) has decided to leave the official cash rate unchanged at the level of 2.25% (in line with expectations). During the press conference, the RBNZ's Governor Graeme Wheeler said that further policy easing may be required as it will continue to be accommodative. Moreover, he expressed his concerns regarding a low inflation level, mostly due to low fuel and other import prices. He added that the exchange rate remains higher than appropriate given New Zealand's low commodity export prices, and RBNZ will continue watching the data flow. In conclusion, Wheeler has maintained a strong easing bias, hinting that a cut will come, it's just a matter of time now.
Let's now take a look at the NZD/USD technical picture on the daily time frame. We can see that the bulls have managed to push the prices higher and hit the 61% Fibo of the last swing at the level of 0.7141. The important technical resistance at the level of 0.7055 has been broken as well, so now the next resistance is being seen at the levels of 1.7176 and 0.7233.
