NZD/USD: Election result should provide support – ANZ

Analysts at ANZ suggest that election result should provide support to NZD/USD pair, but markets are likely to quickly revert to watching coalition developments.

Key Quotes

“Fiscal concessions will be watched as this could boost growth in 2018/19, but the NZ economy is also seeing some late cycle challenges as housing, migration and tourism all start to run out of puff. Beyond local developments, firmer inflation signals and the Fed ‘getting on with it’ are expected to support the USD.”

“Support 0.7230 Resistance 0.7420”