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Pressured; US Yields & USD Firm

NZD

NZD/USD prints at $0.6303, ~0.4% softer in yesterday's trading.

  • Greenback advanced with US Yields yesterday as Fridays post-NFP moves extended in a data-light session.
  • NZD/USD briefly dealt below its 200-day EMA, before support came in ahead of $0.6270. The pair recovered, as US Equities rallied off session lows briefly boosting risk sentiment, to deal above $0.63 handle.
  • Bears look to close below the 200-day EMA at $0.6292, before targeting a break of $0.62. Bulls first look to break the 50-day EMA at $0.6338.
  • 10 Year US Treasury Yields rose ~12bps, S&P500 was down ~0.6%. DXY rose ~0.7%.
  • January ANZ Commodity Prices are on the wires today, there is no estimate, the prior read was -0.1%.
  • Across the Tasman we have the latest RBA Monetary Policy decision, with the bank expected to deliver another 25bp hike. Participants will look to the statement for the latest round of guidance, and this could leave AUD/NZD derived flows in the driving seat post-RBA.

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