FX.co ★ Global macro overview for 20/01/2016

Global macro overview for 20/01/2016:

The New Zealand inflation data has been released overnight revealing a more-than-expected decrease in prices for the final quarter of 2015. Market participants had expected a 0.2% drop, but the figures posted a 0.5% rise, the lowest level since September 1999 according to Statistics New Zealand. The biggest plunge in was reported in petrol (7%) and vegetable (17%) prices. Please note that this kind of weak data might put more pressure on the Reserve Bank of New Zealand to cut the interest rate from 2.5% to 2.0% any time soon.

The NZD/USD pair failed to break above the golden channel line after it was capped at the level of 0.6511 and it is slowly falling lower towards the technical support at the level of 0.6252.