New Zealand Declares Covid Case In Community, NZD Softens

The kiwi has started the week on a softer footing after New Zealand reported its first community transmission of Covid-19 in two months. NZD/USD has faltered and last trades -7 pips at $0.7183 after bottoming out within touching distance from the Friday low.

• The new patient tested positive after completing the mandatory two-week quarantine in one of the managed isolation facilities upon her return from Europe. NZ Director-General of Health Bloomfield said that the authorities "are working on the assumption that this is a positive case and that it is a more transmissible variant," as they await the result of a further test.
• NZ Health Min Hipkins & Director-General of Health Bloomfield will hold a presser at 13:00 local time.
• A recent op-ed from interest.co.nz noted that the "big four" banks reduced one-year fixed-term mortgage rates at the start of 2021; "there's little sign, however, of movement in their floating, or variable, mortgage rates."
• Bears look for a slide through the 50-DMA at $0.7103 would bring Jan 18 low of $0.7096 into play. On the topside, a push through Jan 13 & 14 highs of $0.7240 is needed to bring Jan 6 high of $0.7315 into view.
• NZ highlights this week include trade balance (Thursday) & ANZ Consumer Confidence (Friday).