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Kiwi Holds Steady, Shrugging Off China Positives

NZD

NZD/USD stabilises after Friday's rally, which allowed the pair to print its best levels in three weeks. It last trades flat at $0.6533.

  • From a technical perspective, bulls look for a break above $0.6568. A clearance of that level would bring the next round figure above ($0.6600) into view. On the flip side, bears keep an eye on $0.6423, which limited losses on May 24 & 25.
  • Positive signals re: COVID-19 situation in Beijing and further supportive measures being rolled out in Shanghai may support Antipodean FX space today, but there has been no tangible reaction so far.
  • The White House confirmed that U.S. President Joe Biden and Vice President Kamala Harris will meet New Zealand Prime Minister Jacinda Ardern on May 31. It seems that positive COVID-19 tests returned by two members of Ardern's delegation will not affect this visit.
  • On tap in NZ this week we have building permits & ANZ Business Confidence (Tuesday), CoreLogic House Prices (Wednesday, terms of trade (Thursday) and completed construction work (Friday).

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