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Marginally Firmer, Narrow Ranges Persisting

NZD

NZD/USD prints at $0.6325/30, the pair is ~0.1% firmer on Tuesday.

  • A narrow $0.6320/40 range has persisting for the most part today, the NZD/USD printed session highs before paring gains after another firmer than expected Yuan fix by the PBOC.
  • Bulls target a break of Friday's high ($0.6412) which opens year to date highs at $0.6538. Bears first target the low from 13 July ($0.6290) which opens the 20-Day EMA ($0.6235).
  • AUD/NZD is a touch softer however ranges remain narrow as the cross consolidates below $1.08.
  • Cross asset wise; BBDXY is a touch lower, as are e-minis. US Tsy Yields are ~1bp lower across the curve.
  • Looking ahead on the wires early tomorrow is Q2 CPI, a downtick in CPI to 5.9% Y/Y is expected from the prior read of 6.7%.

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