Flat

It’s been a while since I last did a Roundup of Central Bank Biases. And since the Bank of Canada (BOC) is the only one left that has yet to deliver its policy rate statement this month, I thought that now would be a good time do a quick roundup.

Greetings, forex friends! Now that the major central banks have had their say, I thought I’d make a little central bank roundup for today.

As expected, the RBNZ kept the OCR unchanged, but the Kiwi plunged super hard as a result. What’s up with that? What did Wheeler and company say or do that caused the Kiwi to tank that hard? Well, here are the key highlights from the RBNZ’s May statement and presser that you should know about.

There seems to be a lot of confusion about the US dollar reserve currency status. The biggest fallacy is the belief the US $’s reserve status bestows some great benefits on the US economy.