NZD Falters, But AUD/NZD To Fresh Lows Back TO Oct Last Year

NZD traded lower post the Asian session yesterday, down 0.31% against the USD, breaking back below the 0.6100 level, the move was attributed to USD strength heading into claims data, which came in at 218k vs 220k est in the week to Feb 3. There is little in the way of data today, while Lunar New Years kicks off in Asia.

• NZDUSD held above 0.6100 in the Asian session before slipping below this level during European trading. The decline continued post-US Claims data, reaching a low of 0.6079. Subsequently, the USD weakened, partially reversing the earlier drop, bringing the pair just below 0.6100 as the Asian session commenced. Currently, the 20 and 50-day EMAs are situated above the current spot, within the range of 0.6125 to 0.6140, indicating a key area to watch for potential resistance.
• US yields were higher, amid similar Fed rhetoric around being patient on cuts. This likely weighed on NZD, although yen was the biggest underperformer in the G10 space.
• AUDNZD has continued to trend lower after making a clear break of the 1.070 on Wednesday, the pair is another 0.16% lower to 1.0650, breaking below the December low of 1.0656, a hold below here could signal a move to the Oct lows 1.0624. Coming up at 9.30am local time, we have the Australian RBA Governor Bullock speaking.