NZD/USD trades lower ahead of US data string

New Zealand dollar edged lower against its US counterpart on Wednesday, as markets awaited the release of the last string of economic data scheduled for this week out of the United States.

NZD/USD fell to a daily low at 0.8169 at 1:44 GMT, after which consolidation followed at 0.8181, losing 0.16% for the day. Support for the pair was to be received at November 26th low, 0.8154, while resistance was likely to be encountered at November 25th high, 0.8239.

It was reported earlier that New Zealands trade balance, an indicator reflecting the difference between nations exports and imports, produced a lesser deficit in October compared to what had been anticipated by experts and also in comparison with a month ago. The deficit figure narrowed to 0.168 billion NZD in October, while preliminary estimates pointed a deficit at the amount of 0.350 billion NZD. Septembers result has been revised down to a deficit of 0.216 billion NZD from a deficit of 0.199 billion NZD previously.

Meanwhile, within the next hour the United States will release a report on durable goods orders for October, as the median estimate of economists pointed a 1.9% decline last month compared to September, when the indicator registered a 3.8% increase. Durable goods orders are a crucial indicator for economic development, as they represent a major part of the overall factory orders in the country. In case expectations are exceeded, the US dollar will certainly receive a boost to its demand.

The weekly report on initial jobless claims will probably show that the number of claims during the week ending on November 23rd 2013 rose by 7 000 to reach 330 000.

At 14:45 GMT a separate report will show the results of a survey on business activity in the region of Chicago, with the corresponding index probably falling to a reading of 60.5 in November, as in October it stood at 65.9.

At 14:55 GMT Thomson Reuters and the University of Michigan will report on the performance of their index, gauging consumer confidence in the United States. The final value of the index probably advanced to 73.1 in November, as the preliminary value during the same month came in at 72.0, as reported on November 8th. Better than anticipated readings will certainly bolster the appeal of the greenback.

Elsewhere, the kiwi was trading little changed against the Aussie, with AUD/NZD cross dipping a mere 0.01% on a daily basis to trade at 1.1141 at 13:07 GMT, nearing its lowest point since October 2008 at 1.1137. EUR/NZD pair was advancing 0.52% to trade at 1.6653 at 13:08 GMT.

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