FxWirePro: NZD/USD extends rebound from yearly lows, firmer China inflation supports
Chart - Courtesy Trading View
NZD/USD was trading 0.20% higher on the day at 0.6818 at around 06:20 GMT.
The pair is extending rebound from 2021 lows hit last week, scope for further upside.
Kiwi bulls cheer upbeat China inflation figures, however, risk-off mood seems to keep upside limited.
Data released earlier today showed China’s Consumer Price Index (CPI) jumped the most since August 2020, by 2.3% YoY and 0.4% MoM in November.
Further, the Producer Price Index (PPI) crossed 12.6% forecasts to arrive at 12.9% YoY in the said month.
Focus now on the key US CPI data, up for Friday, which could fuel market chatters over the Fed rate hike.
Technical bias is turning bullish on the intraday charts, the pair has held support at 200-week MA.
Price action is above 200H MA, scope for test of 21-EMA at 0.6879. Bearish continuation only below 200-week MA.