NZD/USD retreats to fresh session lows below 0.7200

  • NZD/USD edges lower after posting modest gains on Thursday.
  • US Dollar Index rises into the positive territory above 90.00.
  • Focus shifts to UoM Consumer Sentiment Index data from US.

After managing to close in the green on Thursday, the NZD/USD pair failed to preserve its bullish momentum and started to edge lower ahead of the American session. As of writing, the pair was down 0.22% on the day at 0.7180.

DXY gains traction on recovering bond yields

On Thursday, the sharp decline seen in the US Treasury bond yields didn't allow the greenback to capitalize on the higher-than-expected Consumer Price Index (CPI) data for May. The US Dollar Index (DXY) closed in the negative territory and helped NZD/USD to cling to its daily gains.

Nevertheless, with the benchmark 10-year US T-bond yield gaining nearly 1% on Friday, the DXY is up 0.2% at 90.23. 

Earlier in the day, the data from New Zealand showed that the Business NZ PMI improved modestly to 58.6 in May from 58.4 in April. This reading came in better than analysts' estimate of 54.4 but was largely ignored by market participants.

The only data featured in the US economic docket will be the University of Michigan's last Consumer Sentiment Index for June. Meanwhile, investors will keep a close eye on the performance of US stocks. The S&P 500 remains on track to post a new all-time high after the opening bell with futures rising 0.2%. In case risk flows dominate the markets ahead of the weekend, the USD could find it difficult to gather further strength.

Technical levels to watch for


Today last price 0.718
Today Daily Change -0.0024
Today Daily Change % -0.33
Today daily open 0.7204
Daily SMA20 0.7223
Daily SMA50 0.7185
Daily SMA100 0.7183
Daily SMA200 0.7028
Previous Daily High 0.7213
Previous Daily Low 0.7164
Previous Weekly High 0.7289
Previous Weekly Low 0.7126
Previous Monthly High 0.7317
Previous Monthly Low 0.7115
Daily Fibonacci 38.2% 0.7194
Daily Fibonacci 61.8% 0.7183
Daily Pivot Point S1 0.7174
Daily Pivot Point S2 0.7145
Daily Pivot Point S3 0.7125
Daily Pivot Point R1 0.7223
Daily Pivot Point R2 0.7243
Daily Pivot Point R3 0.7272



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

GME stock positioned for another short squeeze

Get the full analysis and chart in our Insights. Upgrade to Premium today    

Latest Forex News

Latest Forex News

Editors’ Picks

EUR/USD falls from highs as the dollar catches a bid ahead of data

EUR/USD has turned south, changing hands closer to 1.2150 as the dollar recovers alongside Treasury yields. US Consumer Sentiment is awaited. Earlier, the euro shrugged off the ECB's dovish, no-tapering stance. 


GBP/USD retreats amid UK GDP miss, reopening concerns

GBP/USD is hovering around 1.4150, down on the day. UK GDP missed with 2.3% in April and a four-week delay to Britain's reopening is speculated. The greenback is gaining some ground.


XAU/USD drops back below $1900, as US dollar rebounds ahead of data

Gold price has retraced below the $1900 mark once again, having tested Tuesday’s high near $1903. The latest leg down in gold price comes on the back of a tepid bounce staged by the US dollar, as the Treasury yields trim losses across the curve.

Gold News

Ethereum price prepares for a bullish weekend, targeting $3,000

Ethereum price seems prime to revisit $3,000. Although ETH faces resistance at $2,300, the upswing seems imminent. A downswing below $2,000 could invalidate the bullish thesis. 

Read more

Hot Inflation is warming the seat for the June FOMC

Americans are seeing the fastest price increases since their seventh-graders were born as inflation builds into the US economy from the disruptions of the pandemic lockdowns. Core CPI at 3.8% is the steepest gain in 29 years.

Read more