NZD/USD Holding Above 0.6050, Building Permits On Tap Today

It was a very muted session for NZD/USD post yesterday's Asia Pac close with offshore markets largely closed for various holidays. The pair was supported on dips towards 0.6050, but on the topside couldn't get traction above 0.6070. Much of the headline flow was dominated by Biden/McCarthy efforts to get support for their debt ceiling deal.

• Today we have NZ building permits for Apr on tap. There is no consensus expectation, but the prior Mar read was +7.0%.
• A Bloomberg survey from late yesterday indicated that market economists expect the RBNZ to remain on hold for the remainder of 2023. This was the median result from the survey (see this link), with some still expecting a further +25bps move. The previous survey median had a 5.75% peak in rates. Rate cuts are forecast to commence in Q1 next year, slightly later than the previous survey.
• In the cross asset space, moves were muted given the aforementioned holidays. US Treasury futures did rally, with the 10yr finishing up on Monday (112-19 for TYM3) and above NY closing levels from Friday. US equity futures largely held their respective gain from early yesterday.