Created
: 2025.07.14
- 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 softens to near 0.6000 as tariff tensions return, eyes on Chinese Trade Balance data
World FX news
Breaking news
NZD/USD softens to near 0.6000 as tariff tensions return, eyes on Chinese Trade Balance data
2025.07.14 10:30
2025.07.14 10:30
- NZD/USD weakens around 0.6000 in Monday's early Asian session.
- Fresh tariff fears undermine the New Zealand Dollar.
- China's Trade Balance data for June will be the highlight later on Monday.
The NZD/USD pair trades in negative territory near 0.6000 during the early Asian trading hours on Monday. The renewed trade tensions triggered by US President Donald Trump drag the New Zealand Dollar (NZD) lower against the US Dollar (USD). Investors brace for China's Trade Balance data for June, which will be released later on Monday.
Trump on Saturday rekindled trade tensions with new tariffs on the European Union (EU) and Mexico, declaring a 30% rate. Trump added that new rates will kick in on August 1 if they cannot negotiate better terms. Renewed concerns over the global trade war are likely to weigh on the riskier currency like the NZD against the USD in the near term.
Traders await the Chinese trade data for more cues about the impact of US tariffs and the potential of front-loading of shipments. On Tuesday, China's Gross Domestic Product (GDP) report for the second quarter (Q2) will take center stage. The Chinese economy is expected to grow 5.2% year-on-year in the quarter ended June. Additionally, Chinese Retail sales growth is projected to have slowed to 5.5% in June year-on-year from 6.4% in May.
The potential of higher US tariffs on Chinese imports in the coming months has spurred some analysts to call on Beijing to provide more stimulus measures to boost growth. Any positive developments surrounding more consumer-focused support could boost the China-proxy Kiwi, as China is a major trading partner of New Zealand.
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
: 2025.07.14
Related articles
MXN: Base effect in the headline rate, interest rate cuts likely to slow down - Commerzbank
6 minutes agoRUB: Fundamentals turning weaker - Commerzbank
17 minutes agoUSD/JPY returns above 147.30 amid lower GDP expectations in Japan
23 minutes agoUSD/JPY: Likely to trade between 146.90 and 148.00 - UOB Group
25 minutes agoUSD/CNH steady as China trade surges before tariff deadline - BBH
27 minutes agoNZD/USD: Unlikely to be able to reach 0.5960 - UOB Group
32 minutes ago
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
MXN: Base effect in the headline rate, interest rate cuts likely to slow down - Commerzbank
Last week, Mexico once again reaped the benefits of the strong relationship between its president and the US president, resulting in a further 90-day postponement of higher reciprocal tariffs.
New
2025.08.07 19:55USD/CNH: Expected to consolidate in a range of 7.1780/7.1980 - UOB Group
US Dollar (USD) is expected to consolidate in a range of 7.1780/7.1980. In the longer run, USD appears to have moved into a 7.1600/7.2240 range trading phase, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
New
2025.08.07 19:46RUB: Fundamentals turning weaker - Commerzbank
While US intermediation to end Russia's war with Ukraine have kept hitting a dead end, there is a noticeable downturn taking hold in the Russian economy for the first time since sanctions were imposed, Commerzbank's FX analyst Tatha Ghose notes.
New
2025.08.07 19:43USD/JPY returns above 147.30 amid lower GDP expectations in Japan
The US Dollar is reversing previous lows against the Japanese Yen, as safe assets suffer on Thursday, amid a moderate appetite for risk.
New
2025.08.07 19:37USD/JPY: Likely to trade between 146.90 and 148.00 - UOB Group
The current price movements still appear to be part of a consolidation phase, likely between 146.90 and 148.00. In the longer run, sharp drop in USD has scope to extend, but any decline may not break below 145.80, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
New
2025.08.07 19:35USD/CNH steady as China trade surges before tariff deadline - BBH
USD/CNH is stable under key resistance at 7.2000, BBH FX analysts report.
New
2025.08.07 19:33NZD/USD: Unlikely to be able to reach 0.5960 - UOB Group
New Zealand Dollar (NZD) could advance further but is unlikely to be able to reach 0.5960. In the longer run, NZD is expected to range trade, most likely between 0.5860 and 0.5960, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
New
2025.08.07 19:29BoE set to cut rates as UK faces stagflation pressures - BBH
GBP is firmer versus USD but weaker against EUR. In our view, stagflation headwind in the UK threatens further GBP depreciation versus EUR.
New
2025.08.07 19:24AUD/USD gains sharply to near 0.6540 on robust Australian Trade Balance data
The AUD/USD pair advances to near 0.6540 during the European trading session on Friday. The Aussie pair strengthens as the Australian Dollar (AUD) outperforms its peers, following the release of Australia's Trade Balance data for June.
New
2025.08.07 19:21AUD/USD: Current price movements are likely part of a 0.6450/0.6555 - UOB Group
There is scope for Australian Dollar (AUD) to test 0.6520 before a pullback can be expected. In the longer run, the current price movements are likely part of a 0.6450/0.6555 range trading phase, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
New
2025.08.07 19:17Disclaimer:
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
