Investing.com - The New Zealand dollar rose to two-week highs against its U.S. counterpart on Wednesday, but gains were expected to remain limited as demand for the greenback strengthened ahead of the Federal Reserve's upcoming policy statement.
NZD/USD hit 0.6739 during late Asian trade, the pair's highest since July 15; the pair subsequently consolidated at 0.6698, adding 0.27%.
The pair was likely to find support at 0.6589, Tuesday's low and resistance at 0.6725, the high of July 15.
Investors were looking ahead to the Fed statement due later Wednesday to see if policymakers would give any indication on the timing of an initial rate hike.
Fed Chair Janet Yellen has said the central bank could raise rates as soon as September if the economy continues to improve as expected.
The kiwi was higher against the Australian dollar, with AUD/NZD 0.30% to 1.0930.
Recent volatility in Chinese equity markets has weighed on the Australian dollar, because of the country’s strong trade links to China.
However, Chinese markets found some stability on Wednesday, following pledges from Chinese regulators to buy shares to stabilize stocks if needed and hints of more policy easing from the central bank.