New Zealand dollar struggles, Aussie steadies

The New Zealand dollar struggled to make much headway on Monday ahead of an expected interest rate cut by the central bank later this week, while the Australian dollar was subdued, finding the going tough near the top-end of its range. The kiwi traded at $0.7375, having plumbed a five-month low of $0.7339 on Friday. The currency lost about 1.7 percent last week, hit by a series of negatives including sharply reduced growth forecasts and expectations of a rate cut.
The New Zealand dollar could return to $0.7500-$0.7550 in the short-term, Randall said. But he anticipated a gradual depreciation to $0.66 by the end of the year. Immediate support for the kiwi is seen around $0.7339, while resistance starts at $0.7407 and then $0.7427. The Australian dollar was steady at around $1.0131 in thin trading, versus $1.0136 late in New York on Friday.