NZD/USD aims to recapture two-month high at 0.6260 on upbeat Business NZ PMI


  • NZD/USD is advancing towards its two-month high at 0.6260 as Business NZ PMI lands higher at 52.7.
  • A fourth consecutive 50 bps rate hike is expected by the RBNZ.
  • The impact of the lower US CPI print is fading away and investors are focusing on Fed’s next meeting.

The NZD/USD pair has continued its four-day winning streak and is likely to recapture its two-month high at 0.6260 as Business NZ has reported upbeat PMI data. The economic data has landed at 52.7, higher than the expectations of 52.5 and the prior release of 50.

An upbeat PMI data has strengthened the kiwi bulls against the greenback. Also, it may back the former to print a fresh two-month high.

Going forward, the kiwi bulls are likely to dance to the tunes of the Reserve Bank of New Zealand (RBNZ) as the central bank will announce an interest rate decision on Wednesday.

As per the Reuters poll, the RBNZ will elevate its Official Cash Rate (OCR) by 50 basis points (bps) consecutively for the fourth time, taking the interest rates to 3%. Also, the insights from Reuters’ survey indicate that the RBNZ will elevate its OCR to 4.00% by mid-2023. And, the Inflation is expected to fall within the target range of 2-3% in the H1CY2023.

Meanwhile, the US dollar index (DXY) is likely to display a minor correction after facing hurdles around 105.20. The upside seems intact as investors have ignored the evidence of exhausting inflation and are now focusing on the extent of the rate hike that the Federal Reserve (Fed) will feature in its monetary policy meeting in September.

There is no denying the fact that inflation exhaustion signals cheered the market participants. However, price pressures are still on the rooftop and highly deviated from the desired levels. So Fed’s rate announcement will continue further.

NZD/USD

Overview
Today last price 0.6432
Today Daily Change 0.0029
Today Daily Change % 0.45
Today daily open 0.6403
 
Trends
Daily SMA20 0.6254
Daily SMA50 0.6276
Daily SMA100 0.6453
Daily SMA200 0.6629
 
Levels
Previous Daily High 0.6436
Previous Daily Low 0.6275
Previous Weekly High 0.6353
Previous Weekly Low 0.6212
Previous Monthly High 0.633
Previous Monthly Low 0.6061
Daily Fibonacci 38.2% 0.6374
Daily Fibonacci 61.8% 0.6336
Daily Pivot Point S1 0.6307
Daily Pivot Point S2 0.6211
Daily Pivot Point S3 0.6146
Daily Pivot Point R1 0.6467
Daily Pivot Point R2 0.6532
Daily Pivot Point R3 0.6628

 

 

 

  

 

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news Join Telegram

Recommended content


Recommended content

Editors’ Picks

EUR/USD rises toward 0.9650 amid renewed dollar weakness

EUR/USD rises toward 0.9650 amid renewed dollar weakness

EUR/USD has gathered bullish momentum and advanced to a fresh daily high near 0.9650 in the American session on Wednesday. The renewed selling pressure surrounding the greenback amid improving market mood seems to be fueling the pair's rebound.

EUR/USD News

GBP/USD extends recovery beyond 1.0750 in volatile session

GBP/USD extends recovery beyond 1.0750 in volatile session

Following an initial spike to 1.0850 on BoE's intervention in gilt markets, GBP/USD lost nearly 300 pips. With the dollar losing its strength after Wall Street's opening bell, however, the pair rose above 1.0750 and turned positive on the day.

GBP/USD News

Gold rebounds above $1,650 as US yields retreat

Gold rebounds above $1,650 as US yields retreat

Gold gathered bullish momentum and recovered above $1,650 from the multi-year-low it touched at $1,615. The benchmark 10-year US Treasury bond yield is down over 4% on the day following the BoE's intervention in the gilt market, helping XAU/USD stretch higher.

Gold News

Cardano price ignored the Vasil hard fork, but here is a promising bullish pattern

Cardano price ignored the Vasil hard fork, but here is a promising bullish pattern

ADA has a lot to prove to investors amid questions over frequent declines despite increased development activities. The smart contracts token is trading slightly below its price level before the Vasil hard fork.

Read more

Invesco Nasdaq Trust (QQQ) ETF hopes for pivot but faces Apple headwinds

Invesco Nasdaq Trust (QQQ) ETF hopes for pivot but faces Apple headwinds

Stocks remain challenged this morning by competing news as overall volatility levels remain close to recent highs. A brief attempt at a rally on Tuesday failed miserably, and now the market opens negatively after having attempted to move higher during the premarket.

Read more

Forex MAJORS

Cryptocurrencies

Signatures