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NZD/USD Off Morning Lows, Eyes 0.6100

NZD
  • NZD/USD earlier retested the Friday lows of 0.6080, however quickly rebounded as positive Chinese macro data helped push risk assets higher, the pair trades at daily highs of 0.6096 still well within Friday ranges.
  • Key levels to watch: Initial support at 0.6069 (Mar 6 lows), below here we open up a retest of the yearly lows of 0.6038 (Feb 5). Initial resistance at 0.6113 (200-day EMA), a break above opens a move to the 0.6175 (Mar 14 high).
  • Cross asset NZGBs bull steepen with yields 1-3bps lower, NZ equities are 0.50% lower while the wider APAC equities market are up 1.50%
  • Earlier, NZ performance Services Index came in slightly higher than last month at 53.00 vs 52.2 after being revised up from 52.1 while Non Resident Bond Holdings for Feb were 62.6% vs 61.6% in Jan.
  • Looking ahead this week NZ GDP is due Wednesday and Trade Balance on Thursday

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