Investing.com - The New Zealand dollar rose to a three-month high against its U.S. counterpart on Tuesday, after upbeat New Zealand business confidence data and as hopes that major central banks will add further stimulus measures supported sentiment.
NZD/USD hit 0.8113 during late Asian trade, the pair’s highest since May 1; the pair subsequently consolidated at 0.8099, adding 0.12%.
The pair was likely to find support at 0.7991, the low of July 19 and resistance at 0.8187, the high of May 1.
The National Bank of New Zealand said earlier that its index of business confidence rose to 15.1 in July, from a reading of 12.6 the previous month.
Meanwhile, sentiment remained supported ahead of the European Central Bank's policy meeting on Thursday, after ECB President Mario Draghi pledged last week to do whatever was necessary to prevent the euro zone from collapsing.
Draghi's remarks fueled expectations that the ECB may soon reactivate its bond-buying program to help cut Spanish and Italian borrowing costs.
The kiwi’s gains were limited however, as investors remained cautious amid concerns that the bank could disappoint market expectations.
Market participants were also looking ahead to the outcome of the Federal Reserve’s policy setting meeting on Wednesday, amid speculation over whether the bank will hint at further easing measures.
Elsewhere, the kiwi was steady against the euro with EUR/NZD edging down 0.06%, to hit 1.5148.
Later in the day, the U.S. was to release industry data on house price inflation, a report on consumer confidence and data on manufacturing activity in the Chicago area.
NZD/USD hit 0.8113 during late Asian trade, the pair’s highest since May 1; the pair subsequently consolidated at 0.8099, adding 0.12%.
The pair was likely to find support at 0.7991, the low of July 19 and resistance at 0.8187, the high of May 1.
The National Bank of New Zealand said earlier that its index of business confidence rose to 15.1 in July, from a reading of 12.6 the previous month.
Meanwhile, sentiment remained supported ahead of the European Central Bank's policy meeting on Thursday, after ECB President Mario Draghi pledged last week to do whatever was necessary to prevent the euro zone from collapsing.
Draghi's remarks fueled expectations that the ECB may soon reactivate its bond-buying program to help cut Spanish and Italian borrowing costs.
The kiwi’s gains were limited however, as investors remained cautious amid concerns that the bank could disappoint market expectations.
Market participants were also looking ahead to the outcome of the Federal Reserve’s policy setting meeting on Wednesday, amid speculation over whether the bank will hint at further easing measures.
Elsewhere, the kiwi was steady against the euro with EUR/NZD edging down 0.06%, to hit 1.5148.
Later in the day, the U.S. was to release industry data on house price inflation, a report on consumer confidence and data on manufacturing activity in the Chicago area.