Snapshot: NZD/USD is currently trading at 0.5952, down 0.49% on the day, as markets continue to price in further easing from the RBNZ. Governor Orr’s recent signaling of additional cuts if disinflation takes hold remains the dominant driver, overshadowing a slightly firmer DXY. Focus shifts to the 10:00 ET ISM Manufacturing PMI print for any knock-on effects.
- Key level to watch is the 0.5950 intraday low; a break could open the door to further downside.
- Risk: An upside surprise in the ISM Manufacturing Prices component could trigger a risk-off move, exacerbating Kiwi weakness.
Bias into NY: The bias remains skewed to the downside for NZD/USD as the market leans towards further RBNZ easing. A sustained break below 0.5950 would likely accelerate the move, potentially targeting 0.5900.