Solid News

New Zealand Real Estate Market Under Pressure

1/10/2023 12:04 PM

Against the depreciation of the US dollar, the NZD/USD pair is correcting near 0.6370.

According to a report by the Real Estate Institute of New Zealand (REINZ), in almost all regions of the country, there is a drop in demand for housing, but in some of them, the supply has more than doubled: in Coromandel, the figure rose by 175.3%, in Nelson and Bays – by 147.2%, and in Taranaki, the growth was 118.6%. According to analysts, the mortgage rate, which peaked at 6.75% in November and 4.73% in December, had a key influence on the current market trend, making the cost of borrowing very high for the people.

Quotes of the US dollar are falling, trading at 102.900 in the USD Index. Investors assess the impact of Friday's statistics, which showed a reduction in wages to 4.8% from 5.0% a month earlier, indicating the negative impact of the "hawkish" monetary policy on the country's economy. Experts suggest that in this situation, the US Federal Reserve will have to slow down the pace of interest rate increases: for example, annual futures for the indicator fell by 10.3 basis points in just a few days.

The trading instrument began to form a local corridor, which can work as a Flag trend continuation pattern.

Technical indicators are ready to reverse and give a buy signal: fast EMAs on the Alligator indicator are approaching the signal line, and the AO oscillator histogram entered the buy zone, forming several upward bars.

Resistance levels: 0.6410, 0.6566. | Support levels: 0.6290, 0.6100.

Find Us
Registered Address : Bonovo Road – Fomboni Island of Mohéli – Comoros Union
Sofia, PO Box 1407,14 Flip Kutev Str. Floor 2, Industrial area Hladilnika, Bulgaria
Call Us
+35 924 928 392

Risk Warnings
Solid ECN Securities LLC offers trading on Foreign Exchange (‘Forex’ or ‘FX’) and Contracts for Difference (‘CFDs’), which are complex financial products that are traded on margin. They carry a high level of risk since leverage can work both to your advantage and disadvantage. As a result, these products may not be suitable for all investors, as loss of all invested capital may occur. You should not risk more than you are prepared to lose. Before deciding to trade, you need to ensure that you understand the risks involved and consider your investment objectives and level of experience. Seek independent advice, if necessary.
Solid ECN Securities LLC does not issue advice, recommendations or opinions in relation to acquiring, holding or disposing of a CFD. Solid ECN Securities LLC is not a financial advisor and all services are provided on an execution-only basis. This communication is not an offer or solicitation to enter into a transaction and shall not be construed as such.
This website is not directed at any jurisdiction and is not intended for any use that would be contrary to local law or regulation.
By using you agree to use our cookies to enhance your experience.
Solid ECN Securities LLC is authorized and regulated by the Comoros Union with reference number HY00623411.
Disclaimer 1: The information provided on this site is not intended for residents of any country or jurisdiction where its distribution or use would violate local laws or regulations.
Disclaimer 2: Solid ECN Securities LLC and it affiliates does not provide services to residents of the USA, Japan, Canada, Australia, the Democratic Republic of Korea, European Union, United Kingdom, Iran, Syria, Sudan and Cuba.
Copyright All Right Reserved 2024