FX News

NZD/USD Transfer

The New Zealand Dollar (NZD) reached 0.6050 late in the week against the US Dollar (USD) but has since been in freefall. Reversing gains late Friday, the cross continued its decline to 0.5950 as I write, risk conditions favouring the safe haven greenback amid earlier uncertainty with a US govt shutdown which has been narrowly avoided. It’s a hard lesson on how momentum can shift in a heartbeat. One day buying USD above 0.6000 the next well below these levels. However, we will need to see a break past 0.5930 to signal an exit from the bull trend in play now. Wednesday’s RBNZ cash rate release and policy statement may give clues as to future policy. It’s our view that recent interest rate hikes have done enough to filter higher cost impacts through the economy. Cuts are still expected to get underway late in 2024. Key data late in the week comes in the form of Non-Farm Payrolls

Current Level: 0.5942
Resistance: 0.6100
Support: 0.5850
Last Weeks Range: 0.5898 – 0.6048

Previous ArticleNext Article