Investing.com - The New Zealand dollar rose to three-day highs against its U.S. counterpart on Tuesday, although markets were jittery ahead of comments by Federal Reserve Chairman Ben Bernanke on Wednesday.
NZD/USD hit 0.8213 during late Asian trade, the pair's highest since May 16; the pair subsequently consolidated at 0.8191, rising 0.23%.
The pair was likely to find support at 0.8140, the session low and resistance at 0.8264, the high of May 15.
Investors remained cautious ahead of Bernanke’s testimony at the U.S. Joint Economic Committee and the minutes of the Fed’s most recent policy meeting, both due Wednesday.
Markets were awaiting any indication that the U.S. central bank will begin to scale back its asset purchase program this year after recent economic data bolstered optimism over the economic recovery.
Elsewhere, the Reserve Bank of New Zealand earlier said that its inflation expectations ticked down to 2.1% in the first quarter, from 2.2% in the previous quarter.
The kiwi was higher against the Australian dollar with AUD/NZD edging down 0.09%, to hit 1.1987.
Also Tuesday, the minutes of the Reserve Bank of Australia's most recent policy meeting showed that the bank cut its benchmark interest rate to a record low this month to boost businesses weakened by the currency’s sustained strength, even as households reacted to earlier reductions.
The RBA also said that economic growth was expected to be a little below trend this year, picking up gradually to be close to trend through 2014.
NZD/USD hit 0.8213 during late Asian trade, the pair's highest since May 16; the pair subsequently consolidated at 0.8191, rising 0.23%.
The pair was likely to find support at 0.8140, the session low and resistance at 0.8264, the high of May 15.
Investors remained cautious ahead of Bernanke’s testimony at the U.S. Joint Economic Committee and the minutes of the Fed’s most recent policy meeting, both due Wednesday.
Markets were awaiting any indication that the U.S. central bank will begin to scale back its asset purchase program this year after recent economic data bolstered optimism over the economic recovery.
Elsewhere, the Reserve Bank of New Zealand earlier said that its inflation expectations ticked down to 2.1% in the first quarter, from 2.2% in the previous quarter.
The kiwi was higher against the Australian dollar with AUD/NZD edging down 0.09%, to hit 1.1987.
Also Tuesday, the minutes of the Reserve Bank of Australia's most recent policy meeting showed that the bank cut its benchmark interest rate to a record low this month to boost businesses weakened by the currency’s sustained strength, even as households reacted to earlier reductions.
The RBA also said that economic growth was expected to be a little below trend this year, picking up gradually to be close to trend through 2014.