Post #16074

NZD/USD Pressured as Oil-Driven Inflation Meets Dovish RBNZ Stance NZD/USD remains under pressure, giving back recent gains as risk sentiment deteriorates. Fading hopes of a quick Middle East resolution have kept oil elevated, feeding into inflation concerns and weighing on growth-sensitive currencies like the Kiwi. On the macro side, the RBNZ is in a holding pattern for now. They’ve made it clear they’re willing to look through short-term inflation pressures driven by higher oil — which helps explain why rate hike expectations have cooled. That said, if energy-driven inflation proves persistent, the tone can shift quickly back toward tightening. Technically, momentum is still to the downside. Rallies lack conviction, and unless risk sentiment improves, NZD/USD remains vulnerable to further weakness. - Alan