FxWirePro: NZD/USD consolidates ahead key US inflation data

• NZD/USD consolidated around  0.5944 on Wednesday as markets awaited key U.S. inflation data that could influence next week’s Fed rate decision.

• Last week’s poor jobs data cemented bets on a Fed rate cut, with the debate now over 25 vs. 50 basis points.

• Producer price data for August is due Wednesday, followed by Thursday’s core CPI, where economists expect a 0.3% monthly increase and a 3.1% annual gain.

•Bets on a 25 basis point cut were intact while the probability for a jumbo 50 basis point reduction was at 8%, as per CME's FedWatch tool.

• At GMT 04:25, the New Zealand dollar was up  0.31% to 0.5944 against the US dollar.

•  Immediate resistance is located at 0.5963(Higher BB), any close above will push the pair towards 0.5998(38.2%fib).

•  Support is seen at 0.5902(50%fib)and break below could take the pair towards 0.5884(SMA20).

 Recommendation: Good to buy around 0.5930 with stop loss of 0.5850 and target price of 0.6000