The New Zealand Dollar (NZD) slipped below the key 0.6000 level against the US Dollar (USD) late last week closing around the 0.5995 mark. Last week’s gloomy growth release is taking a toll on the kiwi, adding in some less than dovish speak from the Federal Reserve and the NZD has and could continue to struggle. Overnight we saw a rebound to 0.6030 but declined back to 0.6000 as I wrote. The importance of having orders in the market, this is a good example. Over the next day or so we will get a read on how markets are perceiving the strength in the NZD. The longer the cross trades around 0.6000 the harder the break to the downside could be.
The current interbank midrate is: NZDUSD 0.6002
The interbank range this week has been: NZDUSD 0.5982- 0.6030