Investing.com - The New Zealand dollar was higher against its U.S. counterpart on Tuesday, as market sentiment improved amid hopes for progress in tackling the debt crisis in the euro zone ahead of talks between leaders of the Group of Seven nations.
NZD/USD hit 0.7604 during late Asian trade, the pair’s highest since May 30; the pair subsequently consolidated at 0.7579, adding 0.19%.
The pair was likely to find support at 0.7512, the low of May 25 and resistance at 0.7632, the high of May 30.
Market sentiment found support ahead of a teleconference of finance ministers from the G7 industrialized nations later in the day, to discuss the situation in the euro zone.
Investor confidence also strengthened amid expectations for more monetary easing measures by the European Central Bank at its policy meeting on Wednesday, to help stabilize markets.
But the kiwi’s gains were limited as concerns remained over the lack of consensus among euro zone leaders on how to rescue Spain’s troubled banking sector.
Elsewhere, the kiwi was lower against the Australian dollar with AUD/NZD rising 0.33%, to hit 1.2897.
Also Tuesday, the Reserve Bank of Australia lowered its benchmark interest rate by 0.25% to 3.50%, the lowest level since October 2009, saying that recent indicators suggested "further weakening in Europe and some further moderation in growth in China".
Later in the day, the U.S. Institute for Supply Management was to release a report on non-manufacturing activity.
NZD/USD hit 0.7604 during late Asian trade, the pair’s highest since May 30; the pair subsequently consolidated at 0.7579, adding 0.19%.
The pair was likely to find support at 0.7512, the low of May 25 and resistance at 0.7632, the high of May 30.
Market sentiment found support ahead of a teleconference of finance ministers from the G7 industrialized nations later in the day, to discuss the situation in the euro zone.
Investor confidence also strengthened amid expectations for more monetary easing measures by the European Central Bank at its policy meeting on Wednesday, to help stabilize markets.
But the kiwi’s gains were limited as concerns remained over the lack of consensus among euro zone leaders on how to rescue Spain’s troubled banking sector.
Elsewhere, the kiwi was lower against the Australian dollar with AUD/NZD rising 0.33%, to hit 1.2897.
Also Tuesday, the Reserve Bank of Australia lowered its benchmark interest rate by 0.25% to 3.50%, the lowest level since October 2009, saying that recent indicators suggested "further weakening in Europe and some further moderation in growth in China".
Later in the day, the U.S. Institute for Supply Management was to release a report on non-manufacturing activity.