Investing.com - The New Zealand dollar was lower against its U.S. counterpart on Wednesday, as the lack of further stimulus measures by the Federal Reserve supported demand for the greenback while investors remained concerned over signs of a further slowdown in the euro zone.
NZD/USD hit 0.8153 during late Asian trade, the pair’s lowest since March 29; the pair subsequently consolidated at 0.8162, edging down 0.34%.
The pair was likely to find support at 0.8115, the low of March 29 and resistance at 0.8227, the high of March 30.
The greenback found broad support after the minutes of the Federal Reserve’s March policy meeting revealed on Tuesday that the central bank has no intention of implementing further easing measures for the time being, in light of the improving U.S. economy.
Meanwhile, fears that the euro zone may be slipping into a recession continued to weigh on risk sentiment after official data confirmed on Tuesday that the bloc’s economy contracted by 0.3% in the final three months of 2011.
Sentiment was also hit by concerns that Spain will be the next country to require a bailout mounted ahead of an auction of government debt later in the day.
Elsewhere, the kiwi was higher against the Australian dollar with AUD/NZD declining 0.11%, to hit 1.2593.
Also Wednesday, official data showed that Australia posted a AUD0.48 billion deficit in February, disappointing expectations for a surplus of AUD1.12 billion.
Later in the day, the U.S. was to produce industry data on non-farm employment change, as well as report by the Institute of Supply Management on service sector activity and government data on crude oil stockpiles.
NZD/USD hit 0.8153 during late Asian trade, the pair’s lowest since March 29; the pair subsequently consolidated at 0.8162, edging down 0.34%.
The pair was likely to find support at 0.8115, the low of March 29 and resistance at 0.8227, the high of March 30.
The greenback found broad support after the minutes of the Federal Reserve’s March policy meeting revealed on Tuesday that the central bank has no intention of implementing further easing measures for the time being, in light of the improving U.S. economy.
Meanwhile, fears that the euro zone may be slipping into a recession continued to weigh on risk sentiment after official data confirmed on Tuesday that the bloc’s economy contracted by 0.3% in the final three months of 2011.
Sentiment was also hit by concerns that Spain will be the next country to require a bailout mounted ahead of an auction of government debt later in the day.
Elsewhere, the kiwi was higher against the Australian dollar with AUD/NZD declining 0.11%, to hit 1.2593.
Also Wednesday, official data showed that Australia posted a AUD0.48 billion deficit in February, disappointing expectations for a surplus of AUD1.12 billion.
Later in the day, the U.S. was to produce industry data on non-farm employment change, as well as report by the Institute of Supply Management on service sector activity and government data on crude oil stockpiles.