Post #15207

Kiwi Slips as Downtrend Deepens NZD/USD continues to respect its well-defined downtrend, giving back all of last week’s gains and pressing toward recent lows. A break below current support would further confirm downside momentum. With little structure below, open space exists down to 0.5550, where the next notable level sits. The Reserve Bank of New Zealand remains in focus as markets still expect a 25 bps rate cut in November, though the chances of a larger 50 bps move have faded. Policymaker Prasanna Gai noted that U.S. tariffs have acted as a negative demand shock for New Zealand’s economy, effectively offsetting some of the RBNZ’s prior easing. This combination of global trade pressure and domestic softness continues to weigh on the kiwi. A decisive break of recent lows could open the door for an extended move lower toward 0.5550. However, any signs of stabilization in global trade sentiment or a more cautious tone from the RBNZ could trigger a revival.