The NZD/USD is higher as investors are feeling a little less negative about the global economy, says BNZ currency strategist Mike Jones in a note. "Hopes the EU may ride to the rescue with some 'crisis fighting' measures at Wednesday's Summit, and some pro-growth comments from the Chinese Premier, have underscored a small recovery in risk appetite over the past 24 hours." The NZD was the best performer among the top 10 currencies but this seems to be due to speculative positioning rather than anything fundamental, he says. Fonterra's first 2012/2013 dairy payout forecast may be released Tuesday, and this has the potential to knock the NZD lower, he adds. The RBNZ survey of inflation is also due out later in the day. The NZD/USD is at 0.7650 vs 0.7597 late Monday. Jones puts near-term support at 0.7555 while selling interest should come in at the 0.7670-0.7685 range.
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