Bearish Outside Day

NZD/USD went offered Tuesday, as U.S. Tsys retreated when cash trading re-opened in Tokyo after a long weekend in the U.S. Struggling equity markets in Europe and the U.S. applied further pressure to the pair. NZD/USD snapped a four-day winning streak as a result, charting a bearish outside candlestick.

• The rate last deals at $0.6518, barely changed on the day. A slide through May 24 & 25 lows of $0.6423 would encourage bears to take aim at May 18 low of $0.6291. Conversely, should the rate manage to break above May 5 high of $0.6568, bulls could target the $0.6600 mark.
• NZ housing market continues to cool, CoreLogic House Price Index showed. CoreLogic noted that "with housing credit tight and getting more expensive by the week, this trend towards weaker housing market conditions is likely to continue."
• The RBNZ has launched consultations on the five-yearly review of its monetary policy remit, noting that it seeks feedback on the appropriateness of the 1-3% inflation target and using the CPI as the main indicator of inflation.
• NZ PM Ardern met U.S. Pres Biden in the White House to discuss the Ukraine situation, the Pacific region, the Indo-Pacific Economic Framework (IPEF) and climate change.
• RBNZ Asst Gov Hawkesby will make another presentation on the MPS today. China's Caixin M'fing PMI & Australian GDP will be eyed for any spillover into NZ markets.
• Looking further afield, New Zealand's terms of trade will hit the wires on Thursday, with completed construction work coming up Friday.