NZD/USD pares gains after weaker NZIER Business Confidence, stays near 0.6040

NZD/USD faces struggles on contracted business outlook in New Zealand.
RBNZ is anticipated to maintain cash rates at 5.5% for the sixth consecutive meeting on Wednesday.
Headline US CPI could show an increase in March while the core measure is anticipated to cool down.

Akhtar Faruqui FXStreet

NZD/USD retains its position in positive territory, although it has trimmed some intraday gains, following the release of weaker Business Confidence data from New Zealand on Tuesday. At the time of writing, the pair trades near 0.6040 during the Asian session.

The NZIER Business Confidence (quarter-over-quarter) indicated a 25% contraction in the business outlook in New Zealand for the first quarter of 2024, compared to a 2% decline in the previous quarter. Additionally, the Reserve Bank of New Zealand (RBNZ) is scheduled to hold its monetary policy meeting on Wednesday.

The RBNZ is anticipated to maintain cash rates at 5.5% for the sixth consecutive meeting and emphasize the necessity to remain restrictive for a while longer to curb inflation. In February, the board indicated it would refrain from easing policy until 2025, citing worries about record immigration.

The NZD/USD pair saw gains as risk appetite improved ahead of the upcoming release of Consumer Price Index (CPI) data from the United States (US) scheduled for Wednesday. The CPI report is expected to show an acceleration in headline CPI for March while the core measure is anticipated to cool down. However, the US Dollar (USD) strives to recover its recent losses amidst market volatility.

Support for the US Dollar could stem from remarks by Federal Reserve (Fed) Bank of Minneapolis President Neel Kashkari, who emphasized the importance of bringing down the current inflation rate of around 3% to the target level of 2%.

NZD/USD

Overview
Today last price	0.6037
Today Daily Change	0.0005
Today Daily Change %	0.08
Today daily open	0.6032

Trends
Daily SMA20	0.6036
Daily SMA50	0.6091
Daily SMA100	0.6138
Daily SMA200	0.6068

Levels
Previous Daily High	0.604
Previous Daily Low	0.6
Previous Weekly High	0.6047
Previous Weekly Low	0.5939
Previous Monthly High	0.6218
Previous Monthly Low	0.5956
Daily Fibonacci 38.2%	0.6025
Daily Fibonacci 61.8%	0.6015
Daily Pivot Point S1	0.6008
Daily Pivot Point S2	0.5984
Daily Pivot Point S3	0.5968
Daily Pivot Point R1	0.6048
Daily Pivot Point R2	0.6064
Daily Pivot Point R3	0.6088

Author

Akhtar Faruqui

FXStreet

Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.

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