NZD/USD sits at $0.6404, marginally shy of.....>

KIWI: NZD/USD sits at $0.6404, marginally shy of neutral levels, in the lead-up

to the RBNZ monetary policy decision. The MPC is widely expected to leave the

OCR unchanged. Our preview can be accessed at http://tiny.cc/RBNZFeb2020.

- Risk-on mood lent some support to the kiwi on Tuesday, but most of the gains

registered by NZD/USD was driven by a sell-off in the greenback, which faltered

as Fed Chair Powell highlighted economic risks from the spreading coronavirus.

- A break above the 100-DMA/mid-point of the Oct 1 - Dec 31 rally at $0.6477/80

would expose the 200-DMA at $0.6501. Bears look for a dip under $0.6378, a

three-month low printed yesterday. A break here would open the 76.4% retracement

of aforementioned rally, located at $0.6334.

- RBNZ Gov Orr's post-MonPol press conference may somewhat overshadow a speech

from PM Ardern, scheduled for the same time. Ardern will outline government

policy plans to lawmakers as parliament resumes.

- FinMin Robertson testified to a parliamentary committee earlier this morning,

reiterating that Q1 GDP will be affected by the Wuhan virus.

- On the data front, BusinessNZ M'fing PMI & food price index are due Friday.