NZD/USD remains flat below the mid-0.5900s amid China property market woes, eyes on US GDP data

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The NZD/USD pair remains confined above the 0.5900 psychological support level during the early European session on Thursday. As of writing, the pair

Risk aversion dominated markets as investors assessed the narrative of a higher for longer rate in the US against the growth risks posed by the possibility of an imminent US government shutdown. However, market participants will closely monitor this week's speech by Federal Reserve ChairAbout the data, the US Census Bureau reported on Wednesday that US Durable Goods Orders rebounded in August, climbing 0.2% MoM from the previous reading's 5.6% drop, versus estimations of a 0.5% m/m drop.

Earlier Thursday, the National Bank of New Zealand revealed that the nation’s ANZ Business Confidence for September rose to 1.5 from a 3.7 decline in August. Additionally, the ANZ Activity Outlook improved to 10.9 in September from 11.2% in the previous reading. The market anticipates the Reserve Bank of New Zealand to maintain the current monetary policy unchanged in next week’s policy meeting but expects the RBNZ would hike again in November’s meeting.

Apart from this, the fear of China's property market woes exert some pressure on the China-proxy New Zealand Dollar . On Thursday, Reuters reported that China’s Evergrande Group Chairman Hui Ka Yan had been placed under police watch, raising fears about the cash-strapped developer's future amid mounting liquidation risk.

Moving on, traders will focus on the US weekly Jobless Claims data, the third revision of growth number for the second quarter, and Pending Home Sales data due later in the American session on Thursday. The Core Personal

 

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