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On June 7th, AstraZeneca CEO Robert Soriot warned that, given the terms of its agreement with the Trump administration to reduce drug costs for US patients, the pharmaceutical giant may be forced to suspend the launch of new drugs in the UK and Europe if it cannot secure higher drug prices. Soriot stated that European countries must increase investment in innovative drugs, otherwise the Anglo-Swiss joint venture will have no choice but to focus almost entirely on the US market, as nearly half of its revenue comes from the US.On June 7th, Eli Lilly (LLY.N) announced the results of a trial of its next-generation weight-loss drug, Retatrutide, to medical experts. The results showed that in addition to promoting weight loss and relieving knee pain, the drug can also reduce the severity of sleep apnea. In a phase 3 clinical trial, Eli Lilly found that once-weekly injections of Retatrutide reduced symptoms of moderate to severe obstructive sleep apnea by 60.6% in obese adult patients. In the same trial, Eli Lilly also found that the drug reduced pain in patients with knee osteoarthritis by up to 73.1%.On June 7th, the Nansha District Government and Baoan District Government of Guangzhou signed a strategic cooperation framework agreement. The two districts will promote comprehensive cooperation in multiple areas, including industrial collaboration, technological innovation, talent exchange, infrastructure, and a high-quality living environment, jointly creating a new model of coordinated development in the Greater Bay Area and supporting the high-quality development of the "Golden Inner Bay." In the area of peoples livelihood, the two districts will pilot projects in areas such as sharing high-quality educational resources, cross-regional medical cooperation, mutual recognition and interoperability of social security rights, and cross-regional use of housing provident funds.On June 7th, German Chancellor Merz stated at the CDU state party congress in Mecklenburg-Western Pomerania that despite disagreements within the ruling coalition on some issues, the coalition still possesses the ability to "push forward reforms and maintain unity and cooperation." He believes that the current difficulties can be overcome, and Germany is expected to show a new development trend in a relatively short period of time. When discussing key reform areas, Merz mentioned digitalization, streamlining administrative procedures, improving infrastructure, and ensuring energy supply. He stated that Germany has the potential to build a more efficient railway transport system, enhance data transmission capabilities, and maintain international competitiveness in modern climate protection technologies. Furthermore, Germany also has the capability to build one of the most powerful conventional armed forces in Europe.On June 7th, it was learned from the Hainan Provincial Housing Provident Fund Management Bureau that, in order to standardize the management of individual housing provident fund accounts and improve data quality, the bureau will conduct a cleanup of "one person, multiple accounts" among contributors. According to reports, during a special investigation, the bureau discovered that some contributors had "one person, multiple accounts" (multiple accounts under different names using the same ID number). According to the "Housing Provident Fund Management Regulations," each employee can only have one housing provident fund account. The bureau has issued a notice reminding relevant contributing units and contributors to proactively verify their account details from June 6th to June 20th.

Analysis of the NZD/USD Price indicates a continuation of gains towards 0.65

Daniel Rogers

Jan 18, 2023 15:02

 NZD:USD.png

 

The NZD/USD pair is oscillating within a narrow range near 0.6430 in the early Asian session. Despite the market's risk aversion, the New Zealand dollar has traded sideways after reclaiming the monthly high of 0.6437. In reaction to Tom Barkin's hawkish comments about the Richmond Federal Reserve (Fed) Bank, S&P500 futures are exhibiting greater losses, indicating investors' diminishing appetite for risk.

 

Following a V-shaped recovery, the US Dollar Index (DXY) has turned sideways at 102,000 and is expected to extend gains on a risk aversion theme. In addition, higher 10-year US Treasury yields would certainly provide safe-haven investments a new lease of life.

 

After one hour of consolidation, the NZD/USD pair has broken out of the Bullish Pennant chart pattern, indicating that the rising trend will continue. Participants typically initiate long positions during the consolidation period of a chart pattern, preferring to enter an auction once a bullish bias has been established.

 

Adding to the upward filters, the 20-period and 50-period Exponential Moving Averages (EMAs) have resumed their upward trend at 0.6415 and 0.6401, respectively.

 

Meanwhile, the Relative Strength Index (14) continues to struggle to enter the positive zone between 60.00 and 80.00. The occurrence of a similar event will produce bullish momentum.

 

For greater gains, the Kiwi asset must beat Tuesday's high of 0.6439, which will rocket it to December 15's high of 0.6470, then December 13's high of 0.6514.

 

Alternately, a breach below Monday's low of 0.6361 will weaken the New Zealand Dollar and push the Kiwi asset towards January 12's low of 0.6304. A breach below this level will expose the asset to more losses approaching the low of 0.6263 on December 28.