October 21, 2024 04:04 GMT
NZD: NZD/USD Edges Above Friday's Highs, Further Upside Maybe Limited
NZD
- NZDUSD is trading above Friday's highs, up 0.18% at 0.6082 to be a top performing G10 currency with only JPY performing better. However, the pair remains trading within recent ranges of 0.6050 to 0.6100 with further upside likely to be limited as the RBNZ looks likely to cut more aggressively than peers including the Fed, RBA & BoE.
- NZD/USD leveraged longs are still slightly net positive, however have decreased through the month of October.
- The NZ-US 2yr swap has firmed 2bps to -20bps, from a high of +10bps at the start of Oct, while the AU-NZ 2yr spread trades near multi-year highs at +38bps.
Chart. NZD/USD vs Leveraged Longs
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