NZD / USD remains relatively quiet below 0.7200 as the focus shifts to US data.

• The NZD / USD is trading in positive territory on Friday.
• The US Dollar Index falls below 91.00 ahead of the American session.
• Investors await new home sales and preliminary US PMI figures.

The pair NZD / USD It broke below 0.7200 on Thursday and closed in negative territory pressured by a negative shift seen in market sentiment in the second half of the day. On Friday, the pair gained traction amid widespread USD weakness and was last seen gaining 0.15% on the day at 0.7183.

DXY turns south on Friday

Data from New Zealand on Friday revealed that credit card sales in March expanded 2.2% year-on-year after February’s 12.6% contraction and helped the kiwi pick up steam.

Reports suggesting that US President Joe Biden will propose to raise capital gains tax rates on wealth to fund additional spending on families and child care caused major Wall Street indexes to close in territory. negative on Thursday.

The US Dollar Index (DXY) rose slightly on this development, but struggled to preserve its bullish momentum in the absence of significant fundamental drivers on Friday. Before IHS Markit’s preliminary manufacturing and services PMI, the DXY is losing almost 0.4% to 90.93.

Meanwhile, the major Wall Street indices are still on track to start the day modestly higher with S&P 500 futures rising 0.2% ahead of the opening bell. If risk flows dominate financial markets in the second half of the day, the NZD / USD could try to push higher and record its best weekly close since February.

Technical levels