NZD/USD holds positive ground above 0.5700 as China unveils action plan to stabilize foreign investment
The post NZD/USD holds positive ground above 0.5700 as China unveils action plan to stabilize foreign investment appeared on BitcoinEthereumNews.com.
NZD/USD drifts higher to near 0.5735 in Tuesday’s early European session. China’s stimulus plans and stronger New Zealand’s Retail Sales support the Kiwi. Trump’s tariff threats might cap the upside for the pair. The NZD/USD pair trades in positive territory around 0.5735 during the early European session on Tuesday. The New Zealand Dollar (NZD) strengthens after China’s latest action plan showed it’s trying to boost foreign investment. Last week, Chinese authorities published an action plan to make it easier for foreign capital to invest in domestic telecommunication and biotechnology industries. The Commerce Ministry emphasized that the action plan would be implemented by the end of 2025 and that details on subsequent supportive measures would come soon. The positive developments surrounding China’s stimulus plans underpin the China-proxy Kiwi as China is a major trading partner to New Zealand. The stronger-than-expected New Zealand’s Retail Sales might lift the Kiwi. The country’s Retail Sales, a measure of the country’s consumer spending, rose 0.9% QoQ in the fourth quarter (Q4), the strongest gain in three years, compared to the previous reading of 0% (revised from -0.1%), according to Statistics New Zealand on Monday. This reading came in stronger than the 0.6% expected. On the other hand, the uncertainty and concerns over US President Donald Trump’s tariff plans might boost the safe-have flows, benefitting the Greenback. US President Donald Trump said tariffs on Mexico and Canada would proceed as planned. Inflation FAQs Inflation measures the rise in the price of a representative basket of goods and services. Headline inflation is usually expressed as a percentage change on a month-on-month (MoM) and year-on-year (YoY) basis. Core inflation excludes more volatile elements such as food and fuel which can fluctuate because of geopolitical and seasonal factors. Core inflation is the figure economists focus on and is the…
Filed under: News - @ February 25, 2025 7:20 am