The New Zealand Dollar (NZD), US Dollar (USD) remains in its tight range from last Thursday sitting around 0.6300 areas. This is slightly down on earlier 0.6325 levels Monday as equities quiver posting small losses, all and all not a lot of excitement. Scaled back fed hike expectations may give the kiwi a further boost this week but we are yet to see any momentum develop. The G7 is in progress in Germany where they have been discussing the war in Ukraine and how it has opened up global challenges. Leaders have promised to stay in support of Ukraine to the bitter end, Ukraine’s president has appealed for additional weapons from western allies. Zelensky hopes the war will be over before winter sets in late this year. US Durable Goods Orders printed at 0.7% vs 0.4% expected as US companies continue to spend meanwhile contracts on existing homes in the US improved 0.7% m/m for May improving on the last 6 months of data. Final GDP for the first quarter is forecast to print -1.5% and represent the first quarter of a potential recession if the second quarter is also negative. We expect price in the cross to drift lower this week towards 0.6200 lows.
NZD/USD Rates:
Current Level: 0.6299
Resistance: 0.6400
Support: 0.6220
Last Weeks Range: 0.6243-0.6362