Pressured As Hawkish Fed Drives USD Rally

NZD/USD prints at $0.6344, down ~1.7% in yesterday's trading.

• USD rallied yesterday as markets continued to digest Fed Chair Powells hawkish stance on Wednesday.
• NZD/USD was heavily offered through the European session, unwinding all its post US CPI gains, before finding support at $0.6360. The kiwi pared some of its losses before weakness in US Equities weighed printing a fresh daily low at $0.6320 from where it recovered to current levels.
• US Equities fell, the S&P500 was down 2.5% and DXY was up ~0.8%. Commodities were pressured as demand worries mounted, WTI was down 1.5%.
• Despite yesterday's losses NZD is still in a bullish trend. Bulls look to target a break of the high from 3 June at $0.6576. Bears need to breach the 20-day EMA at $0.6294 to re-establish the downtrend.
• Nov BusinessNZ Manufacturing PMI printed at 47.4, the prior reading was revised lower to 49.1.
• On the wires later this morning Nov Non Resident Bond Holdings are released.