NZD/USD trades flat at $0.6528, following......>

KIWI: NZD/USD trades flat at $0.6528, following the release of New Zealand's

trade data for December. Trade balance flipped to a surplus, which proved wider

than expected but was underpinned by below-forecast imports and exports.

Elsewhere, J.P. Morgan pushed back their RBNZ easing call and now expect two

25bp OCR reductions in Aug & Nov, rather than Feb & May.

- To recap, NZD/USD was heavy in Wednesday's Asia-Pac & European sessions, amid

reported covering of AUD/NZD shorts twinned with pre-FOMC positioning. The rate

briefly broke below its 200-DMA, but bounced after failing to make much headway

beyond there. Subsequent recovery accelerated during Fed Chair Powell's presser,

as some modestly dovish accents in his rhetoric applied a modicum of pressure to

USD. Still, the rate finished the day 19 pips worse off.

- A break below the 200-DMA/Wednesday's low at $0.6510/06 would clear the way to

the 50% retracement of the  Oct 1 - Dec 31 bull mkt at $0.6480. Conversely,

bulls initially target the 50-DMA/descending trendline at $0.6587/89.

- Friday's Consumer Confidence Survey from ANZ will conclude NZ data releases

for this week.