- NZD/USD continues to fluctuate in a narrow range on Tuesday.
- US Dollar Index stays flat above 92.50 during European session.
- Focus shifts to August CPI data from US.
The NZD/USD pair closed the first day of the week virtually unchanged and continues to move sideways during the first half of the day on Tuesday. As of writing, the pair was down 0.13% at 0.7112.
DXY stays calm ahead of key inflation data
On Monday, the US Dollar Index (DXY) climbed to its strongest level since late August at 92.88 but struggled to preserve its bullish momentum in the second half of the day with falling US Treasury bond yields weighing on the greenback. After losing more than 1%, the benchmark 10-year US T-bond yield is currently up 1% at 1.341, helping the DXY stay around Monday's closing level of 92.60.
Later in the session, the US Bureau of Labor Statistics will release the Consumer Price Index (CPI) data for August. Previewing the inflation report, "August's Core CPI figure is critical for the and for markets," noted FXStreet Analyst Yohay Elam. "A read within estimates would keep the dollar bid, a level of 4.5% or more would trigger gains, while 4% or lower could undo recent gains."
US Inflation Preview: CPI critical for taper, three scenarios for the dollar.
Meanwhile, Wall Street's main indexes look to open the day little changed with US stock index futures trading flat on the day.
In the Asian session on Tuesday, second-quarter Current Account data from New Zealand will be looked upon for fresh impetus.
Technical levels to watch for
|Today last price||0.7108|
|Today Daily Change||-0.0011|
|Today Daily Change %||-0.15|
|Today daily open||0.7119|
|Previous Daily High||0.7126|
|Previous Daily Low||0.7097|
|Previous Weekly High||0.7162|
|Previous Weekly Low||0.7076|
|Previous Monthly High||0.7089|
|Previous Monthly Low||0.6805|
|Daily Fibonacci 38.2%||0.7115|
|Daily Fibonacci 61.8%||0.7108|
|Daily Pivot Point S1||0.7102|
|Daily Pivot Point S2||0.7085|
|Daily Pivot Point S3||0.7074|
|Daily Pivot Point R1||0.7131|
|Daily Pivot Point R2||0.7143|
|Daily Pivot Point R3||0.7159|
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.