The Federal Reserve has turned a corner in their fight against inflation with the latest release confirming a trend in the right direction is in play as CPI prints at 5.0% y/y in March the lowest level since May 2021. The US Dollar (USD) rallied into the weekly close against the New Zealand Dollar (NZD) to 0.6200 coming off 0.6300 midweek. The Fed will most likely hike rates at their May meeting and again in June before starting to vigorously cut rates prior to year-end. NY’s Fed business condition index spiked in April, a gauge of manufacturing activity, the first rise in 5 months indicating improved conditions. It should be a reasonably quiet week with just Fed members Waller and Harker speaking Friday. Those clients buying USD should consider at current levels.
Current Level: 0.6185
Resistance: 0.6350
Support: 0.6100
Last Weeks Range: 0.6181-0.6314