NZD/USD clings to small daily gains, stays below 0.6700
- NZD/USD is rising modestly after closing in the red on Monday.
- US Dollar Index consolidates Monday's gains near 93.00.
- Focus shifts to key macroeconomic data releases from the US.
The NZD/USD pair closed the first day of the week with small losses and reversed its direction on Tuesday. As of writing, the pair was up 0.2% on a daily basis at 0.6692.
Earlier in the day, the data published by the Statistics New Zealand showed that the country's trade surplus widened in September. During that period, Exports declined to 4.01 billion NZD from 4.41 billion NZD and Imports rose from 4.69 billion NZD to 5.02 billion NZD. Nevertheless, this report was largely ignored by the market participants.
Eyes on US data
On the other hand, the US Dollar Index (DXY), which gained 0.35% on Monday, struggled to preserve its bullish momentum ahead of key macroeconomic data releases from the US and allowed the pair to stage a rebound. At the moment, the DXY is modestly lower on the day at 93.00.
Durable Goods Orders, Housing Price Index and the Conference Board's Consumer Confidence Index data will be featured in the US economic docket.
Meanwhile, investors will keep a close eye on the performance of Wall Street's main indexes following the sharp decline witnessed on Monday. If stock markets fail to make a meaningful recovery, the USD could regain its footing with risk-off flows returning to markets.
Technical levels to watch for
Author
Eren Sengezer
FXStreet
As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.
