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NZD/USD surged yesterday, drawing support......>

KIWI
KIWI: NZD/USD surged yesterday, drawing support from improving risk appetite, as
EU leaders managed to strike a deal re: EU Covid-19 fiscal response. Broad-based
USD sales took some weight off the pair, allowing it to reach its best levels
since mid-January.
- GDT Price Index consolidated very strong gains seen at the previous auction,
as it edged marginally lower yesterday. Whole milk powder prices inched higher.
- The RBNZ announced today that NZ financial markets have stabilised and the
need to conduct TAF ops to promote liquidity has diminished.
- Elsewhere, PM Ardern sacked Immigration Minister Iain Lees-Galloway over
workplace misconduct and said he will not stand in the Sep election.
- NZD/USD trades flat at $0.6642, with bulls looking to take out Jan 16 high of
$0.6665 before shifting focus to Dec 31, 2019 high of $0.6756. Bears need a fall
through Jul 14 low of $0.6503 to gain some impetus.
- Looking ahead, New Zealand's trade balance hits the wires on Friday.

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