The Kiwi dipped below 0.70 as the USD strengthened and US
bond yields ticked higher. Data releases were second tier but the jump in
US consumer confidence was likely influenced by the rapid vaccine rollout
in the US, which will in turn enable the economy to fully re open and for
job hiring to resume at pace. This vibe has certainly taken a bit of shine
off the NZD story, but as we noted yesterday, the better performance of
US equities over March speaks to month end rebalancing flows back into
NZD, which could create some noise near term.
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