Created
: 2025.07.11
- English
- English
- What's Myforex
- Share
- Use tools
- Get information
- What's New
- Help center
- About us
- Customer support
- Terms and policies
-
-
PortfolioShare your portfolio and performance in real time -
Events & contestsEvents and contests held by retail brokers around the world
-
-
Real-time spread comparisonCompare spreads of major retail brokers in real time -
Volatility analysisVisualize volatility as a measure of daily market activity -
Swap point comparisonCompare buy and sell swap values for each broker by symbol -
Market rates & chartsCheck prices for all instruments offered by each broker -
IndicatorsProviding in-house developed indicators for MT4/MT5 -
Trading calculatorsCalculation tools for each broker to help you trade
-
-
World FX newsLatest news on forex and cryptocurrencies from around the world -
Broker informationTrading information of retail brokers worldwide -
MetaTrader4/5 user guideUser guide collection for the latest MetaTrader4/5 -
Economic calendarRelease calendar for indicators from official sources of major economies
NZD/USD keeps the red amid a firmer USD; manages to hold above 0.6000
World FX news
Breaking news
NZD/USD keeps the red amid a firmer USD; manages to hold above 0.6000
New
2025.07.11 16:27
2025.07.11 16:27
2025.07.11 16:27
- NZD/USD retreats from a multi-day high touched this Friday, though it lacks follow-through.
- Trade jitters and reduced Fed rate cut bets underpin the USD and exert pressure on the Kiwi.
- The downtick lacks bearish conviction, warranting caution before positioning for deeper losses.
The NZD/USD pair attracts some sellers following an intraday uptick to the 0.6045 area, back closer to the weekly high, and erodes a part of the previous day's strong gains. Spot prices, however, managed to hold above the 0.6000 psychological mark through the early European session on Friday.
In a dramatic escalation of trade wars, US President Donald Trump announced a 35% tariff on Canadian imports starting August 1. The decision was conveyed in a letter, which marks the latest in a string of over 20 similar tariff notices Trump has issued since Monday, and comes on top of a 50% tariff on US copper imports, which, in turn, weighs on investors' sentiment. This, along with diminishing odds for an immediate interest rate cut by the Federal Reserve (Fed), acts as a tailwind for the safe-haven US Dollar (USD) and turns out to be a key factor undermining the risk-sensitive Kiwi.
The stronger US Nonfarm Payrolls (NFP) report released last Thursday, along with lower-than-expected US Weekly Initial Jobless Claims, pointed to a still resilient US labor market. Moreover, Minutes from the June 17-18 FOMC policy meeting signaled on Wednesday no urgency for the US central bank to cut rates. However, the Reserve Bank of New Zealand's (RBNZ) widely expected decision to hold rates steady earlier this week continues to offer some support to the New Zealand Dollar (NZD). This, in turn, could help limit any further downside for the NZD/USD pair.
There isn't any relevant market-moving economic data due for release on Friday, leaving the USD at the mercy of comments from Fed officials. Apart from this, trade-related developments might influence the USD price dynamics and provide some impetus to the NZD/USD pair heading into the weekend. Nevertheless, spot prices remain on track to register modest weekly losses, and the fundamental backdrop warrants some caution for bullish traders.
New Zealand Dollar FAQs
The New Zealand Dollar (NZD), also known as the Kiwi, is a well-known traded currency among investors. Its value is broadly determined by the health of the New Zealand economy and the country's central bank policy. Still, there are some unique particularities that also can make NZD move. The performance of the Chinese economy tends to move the Kiwi because China is New Zealand's biggest trading partner. Bad news for the Chinese economy likely means less New Zealand exports to the country, hitting the economy and thus its currency. Another factor moving NZD is dairy prices as the dairy industry is New Zealand's main export. High dairy prices boost export income, contributing positively to the economy and thus to the NZD.
The Reserve Bank of New Zealand (RBNZ) aims to achieve and maintain an inflation rate between 1% and 3% over the medium term, with a focus to keep it near the 2% mid-point. To this end, the bank sets an appropriate level of interest rates. When inflation is too high, the RBNZ will increase interest rates to cool the economy, but the move will also make bond yields higher, increasing investors' appeal to invest in the country and thus boosting NZD. On the contrary, lower interest rates tend to weaken NZD. The so-called rate differential, or how rates in New Zealand are or are expected to be compared to the ones set by the US Federal Reserve, can also play a key role in moving the NZD/USD pair.
Macroeconomic data releases in New Zealand are key to assess the state of the economy and can impact the New Zealand Dollar's (NZD) valuation. A strong economy, based on high economic growth, low unemployment and high confidence is good for NZD. High economic growth attracts foreign investment and may encourage the Reserve Bank of New Zealand to increase interest rates, if this economic strength comes together with elevated inflation. Conversely, if economic data is weak, NZD is likely to depreciate.
The New Zealand Dollar (NZD) tends to strengthen during risk-on periods, or when investors perceive that broader market risks are low and are optimistic about growth. This tends to lead to a more favorable outlook for commodities and so-called 'commodity currencies' such as the Kiwi. Conversely, NZD tends to weaken at times of market turbulence or economic uncertainty as investors tend to sell higher-risk assets and flee to the more-stable safe havens.
Last updated
: 2025.07.11
Related articles
NZD/USD gathers strength above 0.5950 on softer US Dollar
28 minutes agoPBOC sets USD/CNY reference rate at 7.1498 vs. 7.1461 previous
2025.07.18 10:15Japan's National CPI rises 3.3% YoY in June, Core CPI climbs as expected
2025.07.18 08:32USD/CAD weakens to below 1.3750 as traders assess US data releases
2025.07.18 08:19GBP/USD halts momentum as markets weigh US Retail Sales, UK labor data
2025.07.18 08:15Fed's Waller: FOMC should cut interest rates by 25 bps at the July meeting
2025.07.18 07:48
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
Was this article helpful?
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Thank you for your feedback.
Thank you for your feedback.
Most viewed
Australian Dollar advances as market sentiment improves due to dovish Fedspeak
The Australian Dollar (AUD) advances on Friday, recovering its more than 0.5% losses from the previous session. The AUD/USD pair appreciates as the US Dollar (USD) faces challenges due to dovish remarks from the Federal Reserve (Fed) officials.
New
2025.07.18 11:25NZD/USD gathers strength above 0.5950 on softer US Dollar
The NZD/USD pair attracts some buyers to around 0.5955 during the Asian trading hours on Friday. The New Zealand Dollar (NZD) strengthens against the Greenback as China's second-quarter (Q2) growth beats estimates.
New
2025.07.18 10:58PBOC sets USD/CNY reference rate at 7.1498 vs. 7.1461 previous
On Friday, the People's Bank of China (PBOC) set the USD/CNY central rate for the trading session ahead at 7.1498 as compared to the previous day's fix of 7.1461 and 7.1736 Reuters estimate.
New
2025.07.18 10:15WTI drifts higher above $66.00 on brewing Middle East tension
West Texas Intermediate (WTI), the US crude oil benchmark, is trading around $66.15 during the early Asian trading hours on Friday. The WTI edges higher amid renewed geopolitical tensions in the Middle East, raising concerns about tighter global oil supplies.
New
2025.07.18 09:46Japan's National CPI rises 3.3% YoY in June, Core CPI climbs as expected
Japan's National Consumer Price Index (CPI) rose by 3.3% YoY in June, compared to the previous reading of 3.5%, according to the latest data released by the Japan Statistics Bureau on Friday.
New
2025.07.18 08:32Silver Price Forecast: XAG/USD edges above $38.00 as bulls await catalyst
Silver price advanced on Thursday, 0.55% as the Greenback posted solid gains during the North American session, even though Wall Street finished the session with gains.
New
2025.07.18 08:20USD/CAD weakens to below 1.3750 as traders assess US data releases
The USD/CAD pair trades in negative territory around 1.3740 during the early Asian session on Friday. The dovish remark from the Federal Reserve (Fed) officials weighs on the US Dollar (USD).
New
2025.07.18 08:19GBP/USD halts momentum as markets weigh US Retail Sales, UK labor data
GBP/USD churned around the 1.3400 region on Thursday, grappling with fresh congestion after a brief reprieve from sustained selling pressure. United Kingdom (UK) labor data broadly missed the mark, and US Retail Sales came in stronger than expected.
New
2025.07.18 08:15Fed's Waller: FOMC should cut interest rates by 25 bps at the July meeting
Federal Reserve Governor Christopher Waller said late Thursday that he continues to believe that the Fed should cut its interest rate target at the July meeting, citing mounting economic risks and the strong likelihood that tariff-induced inflation will not drive a persistent rise in price pressures
New
2025.07.18 07:48Fed's Bostic: Economic outlook remains highly uncertain
Federal Reserve (Fed) Bank of Atlanta President Raphael Bostic expressed further caution about the state of the US economy and potential tariff fallout on inflation metrics in an interview with the Wall Street Journal.
New
2025.07.18 06:40Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy
