Investing.com - The New Zealand dollar traded lower against its U.S. counterpart during Monday’s Asian session after weaker-than-expected trade balance data out of New Zealand.
In Asian trading Monday, NZD/USD fell 0.14% to 0.7798 after earlier trading as high as 0.7822. The pair is likely to find support at 0.7735, the low from August 5 and resistance at 0.7864, the high from August 22.
The pair plunged 3.66% last week as uncertainty about tapering of the Federal Reserve’s bond-buying program and some slack U.S. real estate data weighed on some riskier currencies.
The Commerce Department said Friday U.S. new home sales fell by a larger-than-forecast 13.4% in July, the biggest decline in more than three years. Analysts had expected U.S. new home sales to fall by 2% last month.
The kiwi was also in focus last week after the Reserve Bank of New Zealand said the local currency was overvalued, adding that while a rate rise might be needed next year, it wasn't needed now.
In addition, RBNZ Governor Graeme Wheeler announced home lending restrictions to help cool the market without having to raise interest rates.
Earlier Monday, Statistics New Zealand said the country’s trade balance fell to a seasonally adjusted NZD774 million last month from NZD414 million in June. Analysts expected a decline to NZD50 million last month.
Elsewhere, NZD/JPY fell 0.14% to 76.99 while AUD/NZD inched up 0.05% to 1.1563.
In Asian trading Monday, NZD/USD fell 0.14% to 0.7798 after earlier trading as high as 0.7822. The pair is likely to find support at 0.7735, the low from August 5 and resistance at 0.7864, the high from August 22.
The pair plunged 3.66% last week as uncertainty about tapering of the Federal Reserve’s bond-buying program and some slack U.S. real estate data weighed on some riskier currencies.
The Commerce Department said Friday U.S. new home sales fell by a larger-than-forecast 13.4% in July, the biggest decline in more than three years. Analysts had expected U.S. new home sales to fall by 2% last month.
The kiwi was also in focus last week after the Reserve Bank of New Zealand said the local currency was overvalued, adding that while a rate rise might be needed next year, it wasn't needed now.
In addition, RBNZ Governor Graeme Wheeler announced home lending restrictions to help cool the market without having to raise interest rates.
Earlier Monday, Statistics New Zealand said the country’s trade balance fell to a seasonally adjusted NZD774 million last month from NZD414 million in June. Analysts expected a decline to NZD50 million last month.
Elsewhere, NZD/JPY fell 0.14% to 76.99 while AUD/NZD inched up 0.05% to 1.1563.