NZD/USD has eased off a touch, last deals at...>

KIWI: NZD/USD has eased off a touch, last deals at $0.6444, after falling 20

pips Monday.

- NZ house sales rose 3.7% Y/Y in July vs. a 3.8% decline in June, per REINZ

data. NZ food price index will be published shortly. On Friday, we will see

BusinessNZ m'fing PMI reading for NZ.

- The rate edged lower initially in yesterday's Asia-Pac trade, with a knee-jerk

lower noted on a BBG headline stating that the RBNZ could cut the OCR to -0.35%

in a crisis (the actual BBG piece was more caveated). A stronger than exp. PBoC

fix inspired recovery, but after topping out at $0.6475, the pair slid into the

European morning amid risk-off flows stemming from political or economic

instability in Hong Kong, Italy, or Argentina. An uptick was noted into the

London fix, but recovery attempts held shallow.

- Bears look for a clean break under $0.6440, which limited losses on Monday,

before setting their sights on the Oct 8 2018 low of $0.6425. Bulls look to the

23.6% fibo retracement of the Jul-Aug slide at $0.6475, followed by the $0.6500

mark, which capped gains last Friday.