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Narrow Ranges v USD, US CPI In View

NZD

NZD/USD prints at $0.6335/40, the pair is ~0.1% firmer today.

  • The pair is a touch firmer today however narrow ranges are persisting with little follow through on moves thus far. NZD/USD continues to consolidate month to date gains having broken above the 20- and 200-Day EMA's in May.
  • Overnight implied option volatility, with today's US CPI in view, is slightly elevated but well within the yearly range. A $0.6280-0.6398 range is priced for the aftermath of the print.
  • AUD/NZD is a touch lower, however moves are limited as the pair continues to consolidate below the 20-Day EMA.
  • Cross asset wise; e-minis are a touch firmer and BBDXY is marginally lower. US Treasury Yields are ~1bp lower across the curve.
  • Looking ahead Apr Food Prices crosses early tomorrow, the prior read was 0.8% M/M

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