- US Dollar Index rebounds above 99 ahead of American session.
- Consumer confidence deteriorates in March in New Zealand.
- Coming up: PCE Price Index and UoM Consumer Confidence data from US.
The NZD/USD pair rose to its highest level in 10 days at 0.6016 but struggled to preserve its bullish momentum and erased its daily gains. As of writing, the pair was virtually unchanged on the day at 0.5960.
Boosted by the broad-based USD weakness, the pair closed the first four days of the week in the positive territory. FOMC Chairman Powell reiterated that they are committed to using all the tools to safeguard the economy and noted that they have policy room for more action to weigh on the greenback.
The US Dollar Index (DXY) slumped 98.84 during the early trading hours on Friday before staging a rebound ahead of the American session. At the moment, the DXY is down 0.16% on the day at 99.30.
Eyes on US data
Meanwhile, the sour market sentiment as reflected by heavy losses witnessed in major European equity indexes makes it difficult for the risk-sensitive NZD to find demand. Meanwhile, the ANZ Consumer Confidence Index in New Zealand slumped to 106.3 in March from 122.1 in February to further weigh on the kiwi.
In the second half of the day, the US Bureau of Economic Analysis will publish the Personal Consumption Expenditures (PCE) Price Index data. More importantly, investors will be paying close attention to the Universit of Michigan's Consumer Confidence Survey.
Technical levels to watch for
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.
Recommended content
Editors’ Picks
EUR/USD retreats below 1.0700 after US GDP data
EUR/USD came under modest bearish pressure and retreated below 1.0700. Although the US data showed that the economy grew at a softer pace than expected in Q1, strong inflation-related details provided a boost to the USD.
GBP/USD declines below 1.2500 as USD rebounds
GBP/USD declined below 1.2500 and erased the majority of its daily gains with the immediate reaction to the US GDP report. The US economy expanded at a softer pace than expected in Q1 but the price deflator jumped to 3.4% from 1.8%.
Gold drops below $2,320 as US yields shoot higher
Gold lost its traction and turned negative on the day below $2,320 in the American session on Thursday. The benchmark 10-year US Treasury bond yield is up more than 1% on the day above 4.7% after US GDP report, weighing on XAU/USD.
XRP extends its decline, crypto experts comment on Ripple stablecoin and benefits for XRP Ledger
Ripple extends decline to $0.52 on Thursday, wipes out weekly gains. Crypto expert asks Ripple CTO how the stablecoin will benefit the XRP Ledger and native token XRP.
After the US close, it’s the Tokyo CPI
After the US close, it’s the Tokyo CPI, a reliable indicator of the national number and then the BoJ policy announcement. Tokyo CPI ex food and energy in Japan was a rise to 2.90% in March from 2.50%.