NZD/USD edges up to day highs near 0.5820 but remains within previous ranges

• The New Zealand Dollar rises to a session high near 0.5830, but remains below Thursday's highs, at 0.5842
• A moderately positive market mood is supporting the risk-sensitive NZD and weighing on the US Dollar.
• In New Zealand, hopes of further RBNZ rate cuts this year are weighing on Kiwi's rallies.
  

The New Zealand Dollar is nudging higher at Friday's early European trading session. The pair has reached fresh session highs a few pips shy of 0.5830. The immediate bias is positive, but price action remains trapped within Thursday's ranges, reflecting a frail upside momentum.

A moderate risk appetite is supporting the Kiwi, and weighing on the safe-haven US Dollar, which is also suffering by the US Government shutdown and further evidence of a cooling labour market, which is pressuring the Fed to adopt a looser monetary policy.

US employment data keeps showing signs of a cooling labour market

With the US federal government data releases muted, the US Challenger Job Cuts gathered particular interest on Thursday, and the final readings were mixed. Layoffs declined to 54,064 in September, from 85,979 in August, but hiring plans showed a total of 204,939 this year, which is the lowest year-to-date reading since 2009, in the midst of the financial crisis.

Later on the day. Dallas Fed president, Lorie Logan, provided a fresh boost to the USD, putting into question further rate cuts. Investors, however, remain convinced that the US central bank will cut rates in October and, highly likely, also in December, which is keeping the US Dollar's rallies limited, at least for now.

In New Zealand, the calendar has been light this week, but market expectations that the RBNZ will be forced to ease its monetary policy further to boost a faltering economic growth are acting as headwinds for a significant Kiwi recovery.