NZD: Spectre of political change is weighing - ANZ

The spectre of political change is weighing on the NZD (more so on crosses than against the USD after US Treasury Secretary Mnuchin’s comments that a weaker USD would be better for US trade), explains the analysis team at ANZ. 

Key Quotes

“But we wouldn’t overplay politics given how centrist the local political scene is by global comparison, the decent macro backdrop and global cross-currents. Technically, the NZD has broken lower and that argues for caution, but we don’t think it’s out for the count just yet. Our forecasts have NZD >0.70 until year-end; that still “feels” right.”

“Support 0.7100 Resistance 0.7280”