NZD/USD Steady, EUR/NZD Dips Post ECB

NZD/USD sits closed to unchanged for the Thursday session. The pair is near 0.6110 in early Friday dealings. Support was evident ahead of 0.6100 but we couldn't sustain levels above 0.6130 in the first part of US trade on Thursday. This keeps us well within recent ranges, with recent dips sub the 200-day MA (0.6089) finding support.

• Thursday trade saw USD indices higher, albeit to varying degrees. EUR/USD weakness was a feature (down 0.40%). The ECB meeting and press conference were largely as expected. However, an acknowledgement that wage pressures have started to ease saw a quick 50 pip jolt lower for EUR/USD. Reuters headlines that the central bank can start discussing rate cuts in march also weighed.
• EUR/NZD fell sub 1.7700, but we sit back higher at 1.7750 now (a loss of around 0.40% for Thursday's session).
• Equity sentiment was positive in US and EU markets, while yields were mostly lower post the ECB. Still, NZD moves were largely contained.
• The local data calendar is empty today. It is the Australia day public holiday so that may limit liquidity to a degree.
• Note next Tuesday RBNZ Chief Economist Conway speaks, with comments likely on developments since the last policy statement in Nov.