National Bank of New Zealand (latest release)

Measures Level of a diffusion index based on surveyed manufacturers, builders, retailers, agricultural firms, and service providers;

Usual Effect Actual > Forecast = Good for currency;

Frequency Released monthly, excluding January, around the end of the current month;

Above 0.0 indicates optimism, below indicates pessimism;

Why Traders Care It’s a leading indicator of economic health – businesses react quickly to market conditions, and changes in their sentiment can be an early signal of future economic activity such as spending, hiring, and investment;

Derived Via Survey of about 1,500 businesses which asks respondents to rate the relative 12-month economic outlook;