NZD/USD: the pair remains under negative dynamics
The New Zealand currency is rapidly losing ground during the Asian session, being at the level of 0.6265 with the prospect of falling further. The NZD/USD asset has already updated the local minimum for June 16 against the background of the recovery of consumer sentiment against the US dollar and the aggravation of geopolitical risks of aggravation due to the decision of the Lithuanian authorities to restrict the transit of goods from the Russian Federation to Kaliningrad.
The negative impact is added by weak economic data from New Zealand, according to which the IPN for Q2, according to Westpac, decreased to 78.7 points from 92.1, contrary to analysts' expectations of growth to 100.00 points. The cost of dairy products showed a decrease of 1.3%, having previously increased 1.5% during the previous period, while waiting for a correction of only 0.1%. The export figure rose to $ 6.95 billion in May terms against $ 6.16 billion last month. Nevertheless, the level of the deficit in the trade balance only increased to -9.52 billion. dollars from the past -9.29 billion dollars, which is due to an increase in imports to 6.69 billion dollars from the previous 5.72 billion dollars.
- Resistance levels: 0.6300, 0.6350, 0.6400, 0.6450.
- Support levels: 0.6244, 0.6200, 0.6156, 0.6100.
EUR/USD: Euro resumes decline
The single currency of the eurozone is trading in a fall in a pair with the US dollar, reaching the level of 1.0500 as part of a downtrend.
The "bears" again intercepted the initiative in the asset after trying to gain a foothold in the corrective growth since the beginning of the week, which helped to resume the local maximum of June 16. Market participants refrain from additional transactions on the market amid panic caused by the statement of the Lithuanian authorities banning the transportation of transit supplies of goods to the Kaliningrad region by land. The Lithuanian government stated that the ban was announced within the framework of European Union sanctions and the restrictions affect only the list of goods that were included in the list of sanctions. In response to Lithuania's actions, the official Kremlin reserved the right to use retaliatory measures, but the Russian Foreign Ministry did not announce any specifics.
- Resistance levels: 1.0500, 1.0550, 1.0600, 1.0640.
- Support levels: 1.0450, 1.0400, 1.0350, 1.0300.
USD/JPY: The Central Bank of Japan put pressure on the instrument
The USD/JPY trading pair continues to strengthen its positions, reaching the level of 1356.45.
The Japanese currency was under strong pressure due to the results of the summit of the country's regulator, at which officials decided to abandon the curtailment of incentives for economic development, despite the damage to the yen's position. So, a number of officials admitted the risks of a large range of fluctuations in quotations, which could lead to violations of corporate business plans, but there were a minority of such. As a result of the meeting, the participants agreed on a monetary policy that should ensure financial stability, and not manually regulate a favorable exchange rate.
- Resistance levels: 137.50, 140.62.
- Support levels: 134.37, 131.25, 128.12.
During the trading of the Asia-Pacific countries, the value of the precious metal shows a slight decline, being at the level of 1825.00, which allowed updating the local minimum from June 16.
The bidders took a wait-and-see position, refraining from new deals on the instrument because they are waiting for the release of inflation data in the United Kingdom and the speech of the chairman of the American regulator Jerome Powell, according to experts' expectations, which will give clarity on the further steps of the monetary policy department. A negative factor for the asset is the growing yield of US Treasury bonds on expectations of further decisions from the US Federal Reserve. Consultations on the likely restriction of imports of precious metal from the Russian Federation to European countries as part of the next package of sanctions from the EU may provide new positive signals. Denmark had already advocated such measures the day before.
- Resistance levels: 1843.37, 1857.27, 1869.49, 1878.84.
- Support levels: 1823.09, 1800.00, 1775.00, 1752.87.