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Rangebound v USD, AUD/NZD Firms

NZD

NZD/USD prints at $0.6190/95 ~0.2% firmer in today's trading.

  • The pair has been rangebound for the majority of today's session. A narrow $0.6180/95 range has been observed thus far and moves have had little follow through.
  • AUD/NZD is firmer, the minutes of the RBA's April meeting left scope for further tightening and firmer than forecast Chinese data has helped the AUD outperform. The pair now sits a touch below the 200-Day EMA ($1.0871) and is at its highest level since 7 Mar.
  • Cross asset flows remain muted, US Treasury Yields are ~1bp softer and e-minis are flat. BBDXY is also little changed.
  • Looking ahead the data calendar is empty tomorrow, Q1 CPI on Thursday is the next risk event for NZD. The Bloomberg survey median estimate looks for a 1.5% Q/Q print.

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