- NZD / USD remains relatively quiet at the beginning of the week.
- The US dollar index declines due to market risk appetite.
- RBNZ will announce monetary policy decisions on Wednesday.
The pair NZD / USD It posted small losses last week and started the new week quietly in the absence of major fundamentals. At time of writing, the pair was up 0.1% on the day at 0.7177.
DXY remains below 90.00
The modest USD weakness seen during European trading hours appears to be allowing the NZD / USD to float in positive territory. Following Friday’s rebound, fueled by upbeat US PMI readings, the US Dollar Index is declining and was last seen shedding 0.13% on the day at 89.90.
Risk appetite is making it difficult for the USD to find demand. Reflecting market optimism, S&P 500 futures are up 0.42%. If US stocks rise after the opening bell, the dollar is likely to remain on the defensive in the second half of the day.
The Federal Reserve Bank of Chicago’s National Activity Index for April will be considered for further momentum later in the day. Federal Reserve Governor Lael Brainard and Cleveland Federal Reserve Chair Loretta Mester will also deliver speeches.
On Wednesday, the Reserve Bank of New Zealand will announce its policy decisions. Earlier in the day, New Zealand data revealed that retail sales in the first quarter expanded by 2.5%. Although this reading exceeded market expectations of a 4.4% decline by a wide margin, it failed to trigger a significant market reaction.
Technical levels
.
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
