Poor Economic Data Doesn’t Prevent Kiwi from Rallying

The New Zealand dollar was strong today even as, unlike its Australian peer, it had no support from macroeconomic data. Reports released over the trading session both in New Zealand and its biggest trading partner, China, were rather poor.
The ANZ World Commodity Price Index fell 3.9% in June, month-on-month, demonstrating the first decrease this year. The index rose marginally by 0.1% in the previous month.
Released yesterday, the GlobalDairyTrade Price Index showed a drop by 0.4%. The decline followed the slump by 3.8% in the previous reporting period.
As for China’s data, the Caixin China Services PMI fell from 52.7 in May to 52.0 in June. Analysts had predicted the index to stay about unchanged.
NZD/USD gained from 0.6671 to 0.6697 as of 13:31 GMT today. EUR/NZD dropped from 1.6910 to 1.6854, trading at the lowest level since May 3. NZD/JPY rallied from 71.93 to 72.19, bouncing from the daily low of 71.77.

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