Investing.com – The New Zealand dollar trimmed gains against its U.S. counterpart on Wednesday, easing off a three-year high, after better-than-expected data on Australian inflation saw investors favor the Australian dollar.
NZD/USD retreated from 0.8107, the pair’s highest since March 19, 2008, to hit 0.8069 during late Asian trade, still up 0.30% on the day.
The pair was likely to find support at 0.7975, Tuesday’s low and short-term resistance at 0.8105, the days high.
Earlier in the day, the Australian Bureau of Statistics said that consumer prices increased by the most in five years in the first quarter, fanning hopes for fresh interest rate hikes by the country’s central bank this year.
The kiwi remained supported after an industry survey showed business confidence climbed in April. The ANZ National Bank said 29.5% of companies it surveyed said sales and profits would rise over the next 12 months, compared with 14.7% expecting an increase in March.
The kiwi was also boosted after Fonterra Cooperative Group said earlier that dairy export volumes climbed to a record last month due to surging demand in Asia and the Middle East.
Meanwhile, the kiwi was down against its Australian cousin, with AUD/NZD rising 0.29% to hit 1.3417.
Later in the day, the Reserve Bank of New Zealand was to announce its benchmark interest rate.
Also Wednesday, the U.S. was to publish official data on durable goods orders, while the Federal Reserve was to announce its federal funds rate. The announcement was to be followed by the first-ever post policy meeting press conference by Fed Chairman Ben Bernanke.
NZD/USD retreated from 0.8107, the pair’s highest since March 19, 2008, to hit 0.8069 during late Asian trade, still up 0.30% on the day.
The pair was likely to find support at 0.7975, Tuesday’s low and short-term resistance at 0.8105, the days high.
Earlier in the day, the Australian Bureau of Statistics said that consumer prices increased by the most in five years in the first quarter, fanning hopes for fresh interest rate hikes by the country’s central bank this year.
The kiwi remained supported after an industry survey showed business confidence climbed in April. The ANZ National Bank said 29.5% of companies it surveyed said sales and profits would rise over the next 12 months, compared with 14.7% expecting an increase in March.
The kiwi was also boosted after Fonterra Cooperative Group said earlier that dairy export volumes climbed to a record last month due to surging demand in Asia and the Middle East.
Meanwhile, the kiwi was down against its Australian cousin, with AUD/NZD rising 0.29% to hit 1.3417.
Later in the day, the Reserve Bank of New Zealand was to announce its benchmark interest rate.
Also Wednesday, the U.S. was to publish official data on durable goods orders, while the Federal Reserve was to announce its federal funds rate. The announcement was to be followed by the first-ever post policy meeting press conference by Fed Chairman Ben Bernanke.