NZD/USD Forecast Dec. 23, 2011, Fundamental Analysis

The NZD/USD pair was little changed after the GDP numbers, where the New Zealand economy grew by 0.8% during the third quarter better than the expected growth of 0.6%.

The Rugby World Cup which was held in New Zealand helped growth to pick up, which was widely expected in the market as the Kiwi did not get affected by the cheerful data.

On the other hand, the U.S. dollar lost momentum against most of its major counterparts before the year end; while expectations remain for the downside for the NZD/USD pair as concerns regarding the EU debt crisis still dominate the market.

On Friday at 13:30 GMT, the U.S. economy will release the Durable Goods Orders for November with a previous reading of –0.7% and it’s expected to come at 2.1%.

The Personal Income for November is expected to slow to 0.3% from 0.4%, while the Personal Spending is expected to come at 0.4% from the previous 0.1%.

The core Personal Consumption Expenditure for November is expected in line with the previous rise of 0.1% on the month and 1.7% on the year.

At 15:00 GMT, the U.S. economy will issue the New Home Sales for November, where it’s expected to rise 1.8% to 313 thousand from 307 thousand.