NZD/USD clings onto gains registered Friday as Antipodean currencies topped the G10 pile, which allowed the pair to close above its 100-DMA for the first time since Apr 20. When this is being typed, NZD/USD trades at $0.6447, a touch lower on the day.
- From a technical standpoint, bears look for a retreat under the 100-DMA ($0.6432) and towards the 50-DMA (0.6272). Conversely, bulls set their sights on Jun 3 high of $0.6576.
- A strong showing from global equity markets buoyed the risk-sensitive Antipodeans last Friday, with the VIX index sinking to its lowest point since early Apr.
- Firmer U.S. Tsy yields and a downtick in the BBG Commodity Index failed to dent demand for Antipodean currencies.
- New Zealand's PSI will cross the wires at the bottom of the hour. PPI data is due Wednesday, with trade balance & credit card spending coming up Friday.
- The highlight of this week in New Zealand will be Wednesday's monetary policy review from the RBNZ. It will be an MPS, which means we will get the updated forecasts and comments from Governor Orr.