New Zealand’s trade balance deficit increased up to NZD789 million while investors had anticipated less considerable growth around NZD630 million. The reading also exceeded the NZD690 million deficit seen in August 2011.
The deficit increased mainly because of lower export (-3.4% or NZD3.32 bn m/m) of machinery, equipment and crude oil. The biggest export decline was seen in the bilateral trade with Australia (-17%).
Nevertheless, the decline was smoothed by higher export of dairy products to China.
At the same time, New Zealand’s import declined by 0.45 down to NZD4.1 bn.
Forex.
According to , the New Zealand Dollar keeps strengthening against the US Dollar. However, the experts report that NZDUSD is still forming wave an upswing represented by wave А/В of level H4.
A further rally will probably encounter resistance around 0.8335. The current bullish move will be completed as soon as the price consolidates below 0.8182 (as shown below).
