Investing.com - The New Zealand dollar traded lower against its U.S. rival during Thursday’s Asian session as traders looked to be involved with more docile fare a day after stocks and commodities tumbled in U.S. trade.
In Asian trading Thursday, NZD/USD fell 0.19% to 0.8485. The pair was likely to find support at 0.8540, Tuesday’s low and near-term resistance at 0.8584, Tuesday’s high and a two-week high.
The kiwi came under pressure following disappointing results from the latest Global Dairy Trade auction. The auction showed a 10% decline in the price of whole milk powder, a major export of New Zealand to China.
Speaking of China, on Wednesday the world’s second-largest economy said its manufacturing purchasing managers' index ticked down to 50.6 in April from 50.9 in March. Analysts expected a reading of 50.7. The kiwi was mostly steady after that report, though it should be noted China is now New Zealand’s top trading partner.
New Zealand’s dollar, one of the so-called riskier currencies, was also pressured by some slack U.S. data points. In U.S. economic news, the ADP private sector payroll survey showed that job growth slowed to just 119,000 private sector jobs in April. ADP also slashed the March reading to 131,000 from 158,000. Economists expect the April jobs report, due out Friday, to show the addition of 148,000 jobs.
The Institute for Supply Management’s manufacturing index fell to 50.7% from 51.3% in March. Economists expected an April reading of 50.8%. The April reading was the lowest since December. Readings above 50 signal expansion.
Elsewhere, AUD/NZD inched lower by 0.05% to 1.2085 after the Australian Bureau of Statistics said its Australian Import Price Index was unchanged at 0% last month. Analysts expected a reading of -0.5%.
In a separate report, the Bureau of Statistics said that Australian building approvals fell 5.5% in March. Economists expected an increase of 1.5%. NZD/JPY fell 0.22% to 82.60.
In Asian trading Thursday, NZD/USD fell 0.19% to 0.8485. The pair was likely to find support at 0.8540, Tuesday’s low and near-term resistance at 0.8584, Tuesday’s high and a two-week high.
The kiwi came under pressure following disappointing results from the latest Global Dairy Trade auction. The auction showed a 10% decline in the price of whole milk powder, a major export of New Zealand to China.
Speaking of China, on Wednesday the world’s second-largest economy said its manufacturing purchasing managers' index ticked down to 50.6 in April from 50.9 in March. Analysts expected a reading of 50.7. The kiwi was mostly steady after that report, though it should be noted China is now New Zealand’s top trading partner.
New Zealand’s dollar, one of the so-called riskier currencies, was also pressured by some slack U.S. data points. In U.S. economic news, the ADP private sector payroll survey showed that job growth slowed to just 119,000 private sector jobs in April. ADP also slashed the March reading to 131,000 from 158,000. Economists expect the April jobs report, due out Friday, to show the addition of 148,000 jobs.
The Institute for Supply Management’s manufacturing index fell to 50.7% from 51.3% in March. Economists expected an April reading of 50.8%. The April reading was the lowest since December. Readings above 50 signal expansion.
Elsewhere, AUD/NZD inched lower by 0.05% to 1.2085 after the Australian Bureau of Statistics said its Australian Import Price Index was unchanged at 0% last month. Analysts expected a reading of -0.5%.
In a separate report, the Bureau of Statistics said that Australian building approvals fell 5.5% in March. Economists expected an increase of 1.5%. NZD/JPY fell 0.22% to 82.60.