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Kiwi Edges Away From Weekly Lows, May Register Biggest Weekly Loss Since Sep

NZD

NZD/USD extended losses Thursday, hitting a fresh YtD low, as participants assessed familiar risks. The pair has shed a cumulative ~200 pips this week and is poised to record its deepest weekly loss since Sep, after some investors unwound earlier RBNZ rate-hike wagers.

  • ASB revealed it was the bank that made use of the RBNZ's Funding for Lending Programme (FLP) for NZ$500mn earlier this month.
  • The pair has inched higher this morning, in tandem with risk assets. It last sits +14 pips at $0.6963, with bulls looking for a break above the $0.7000 mark before targeting the 100-DMA at $0.7130. Bears need a fall through Mar 25 low of $0.6943, which would clear the way to the 200-DMA at $0.6872.
  • Next week, focus in NZ turns to building permits (Tuesday), final ANZ Business Confidence (Wednesday), ANZ Consumer Confidence (Thursday) & CoreLogic House Price Index (Thursday/Friday).

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