NZ Dollar Soft Despite Positive Reports in New Zealand & China

The New Zealand dollar was soft today, falling against many of its most-traded rivals. That is despite positive macroeconomic reports released during Thursday’s trading session in New Zealand and China, New Zealand’s biggest trading partner.
The seasonally adjusted Markit/Caixin General Services PMI climbed from 56.8 in October to 57.8 in November. That is instead of a decline to 56.5 predicted by analysts. The report noted that the index indicated the second-quickest rate of growth in the industry since April 2010, exceeded only by the growth in June 2020. Overall, the Chinese economy continued to demonstrate a shockingly swift recovery from the COVID-19 pandemic.
As for New Zealand’s indicators, Statistics New Zealand reported that the seasonally adjusted number of building consents rose by 8.8% in October after increasing by 3.6% in September.
The ANZ World Commodity Price Index logged “a modest gain” of 0.9% in November. The increase was chiefly a result of higher prices for aluminum, beef, wool, and butter. Yet measured in the local currency, the index dropped by 2.3%. The report explained that it is because the New Zealand dollar appreciated against currencies of the nation’s main trading partners in November.
NZD/USD was about flat at 0.7063 as of 10:48 GMT today. EUR/NZD edged up from 1.7125 to 1.7145. NZD/JPY slipped from 73.80 to 73.66.
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