Investing.com – New Zealand’s dollar erased early losses against its U.S. counterpart on Tuesday, after shrugging off a report showing that New Zealand’s retail sales fell by the most in 13 years in October.
NZD/USD clawed up from 0.7490, the daily low, to hit 0.7536 during early European trade, gaining 0.35%.
The pair was likely to find support at 0.7458, Monday’s low and resistance at 0.7665, the high of December 7.
Statistics New Zealand said that retail sales fell 2.5% in October, following a 1.7% increase the previous month. Analysts had expected retail sales to drop 0.8% in October.
Core retail sales - which exclude the motor vehicle-related industries - were down 1.6%, reversing the 1.7% increase in September.
The report said that October retail sales were down after increased spending in September, which was timed to beat the increase in Goods and Services Tax.
The U.S. dollar lost ground as U.S. Treasury yields dropped back ahead of the Federal Reserves monetary policy meeting later Tuesday.
Meanwhile, the kiwi was down against the euro, with EUR/NZD rising 0.14% to hit 1.7850.
Later in the day, the U.S. was to release official data on retail sales and producer price inflation. In addition the Federal Reserve was to announce its federal funds rate.
NZD/USD clawed up from 0.7490, the daily low, to hit 0.7536 during early European trade, gaining 0.35%.
The pair was likely to find support at 0.7458, Monday’s low and resistance at 0.7665, the high of December 7.
Statistics New Zealand said that retail sales fell 2.5% in October, following a 1.7% increase the previous month. Analysts had expected retail sales to drop 0.8% in October.
Core retail sales - which exclude the motor vehicle-related industries - were down 1.6%, reversing the 1.7% increase in September.
The report said that October retail sales were down after increased spending in September, which was timed to beat the increase in Goods and Services Tax.
The U.S. dollar lost ground as U.S. Treasury yields dropped back ahead of the Federal Reserves monetary policy meeting later Tuesday.
Meanwhile, the kiwi was down against the euro, with EUR/NZD rising 0.14% to hit 1.7850.
Later in the day, the U.S. was to release official data on retail sales and producer price inflation. In addition the Federal Reserve was to announce its federal funds rate.