Sideways NZD/USD stuck below 0.6800

• RBNZ Chief Orr statement falls on deaf ears as traders remain focused on trade war antics.
• Steady NZD sees continued tight action as the pair continues to cycle at familiar levels.

The NZD/USD pairing remains trapped underneath the 0.6800 handle heading through Tuesday’s Asian market session, as the Reserve Bank of New Zealand (RBNZ) sees market focus wane as traders remain glued to trade war threats abroad.

RBNZ: Households remain exposed to financial shocks due to their large mortgage debt burden

The RBNZ’s early Tuesday showing drew little attention as traders remain focused on trade war rhetoric over the Sin-US tariff spat, and fears of knock-on risk exposure keep currency markets constrained as investors fear fallout. Despite this, the RBNZ has managed to maintain a steady drumbeat on interest rates, suggesting that future rate changes could be “up or down”, and the New Zealand central bank is expected to stand pat for the foreseeable future, especially with rising potential for a full-blown US-CHina trade war threatening stability in the Pacific region.

NZD/USD Technical Levels