NZD/USD Sits Close To Key Support Near 0.6000, As USD Rebounds Post CPI

NZD/USD lost around 0.50% for Thursday's session, the third worst performer in the G10 space (after NOK and JPY). There was a fair degree of volatility though, with the USD staging an impressive recovery post the US CPI print. NZD/USD got to session highs near 0.6120 post the slightly weaker CPI outcome, but we spent the rest of the NY session retracing. The Kiwi sits near 0.6020, fresh lows back to early June.

• Late May/early June dips just below 0.6000 were supported in NZD/USD. A break below this region could see 0.5840 targeted, a low from November 10 2022. On the topside, the 20-day EMA sits back around 0.6135/40.
• In the cross asset space US yields were firmer across the board, led by the back end. The 10yr ending near 4.10% (intra session lows near 3.95%, which came around the CPI print). For equities, US stocks finished close to flat, while EU stocks tracked higher.
• On the data front today we have the manufacturing PMI for July, there is no consensus expectation, the prior read was 47.5. Also out is July food prices, +1.6% was the prior read.