The New Zealand Dollar remains resilient despite weaker-than-expected Chinese manufacturing data, with traders eyeing US-Iran talks and ISM PMI.
The NZD/USD pair maintained gains near 0.5890 in early Asian trading, shrugging off softer Chinese economic data. China’s Manufacturing PMI fell to 50.9 in July from 51.7 in June, missing the 51.5 consensus forecast.
The decline in China’s PMI, a key indicator for regional growth, typically weighs on commodity-linked currencies like the NZD. However, the Kiwi’s resilience suggests traders are focusing on broader risk sentiment and upcoming US data, including the ISM Manufacturing PMI due later Monday.
Market attention also shifts to US-Iran negotiations, with progress potentially lifting risk assets. Conversely, escalating tensions could support the USD as a safe-haven currency, pressuring the NZD/USD pair.