NZD/USD Slips Below 0.6050 as Traders Await Tariff Clarity and RBNZ Decision

NZD/USD Slips Below 0.6050 as Traders Await Tariff Clarity and RBNZ Decision

US Tariff Pressure and Central Bank Moves Keep NZD/USD Subdued

The NZD/USD currency pair continues to slide, falling to around 0.6035 during Monday’s Asian session. The New Zealand Dollar (NZD) is losing ground against the US Dollar (USD) amid rising trade policy uncertainty and market anticipation of key central bank decisions later this week.

US President Donald Trump has reignited trade tensions after signing letters to 12–15 countries, outlining new tariffs that could come into effect on August 1. Trump declined to specify which countries are targeted or the exact tariff rates but hinted that some tariffs may be as high as 70%, as per Reuters reporting over the weekend.

These developments have given the Greenback a fresh tailwind, while weighing heavily on risk-sensitive currencies like the Kiwi.

RBNZ and FOMC in Focus This Week

Looking ahead, the Reserve Bank of New Zealand (RBNZ) is set to announce its policy decision on Wednesday, with expectations building that the central bank will end its easing cycle. A pause in rate cuts could lend some support to the NZD, but any dovish forward guidance may continue to cap gains.

In the US, the Federal Open Market Committee (FOMC) will release its meeting minutes, also on Wednesday, potentially offering more insight into the Fed’s monetary policy direction amid persistent inflation and labor market resilience.

For more, see the NZD/USD technical chart and follow real-time policy updates on our RBNZ Watch.

Key Takeaways

• NZD/USD drops to 0.6035 as US tariff uncertainty pressures the Kiwi.
• Trump tariff letters target 12–15 countries, taking effect August 1.
• RBNZ rate decision and FOMC Minutes to provide key direction this week.
• Market remains risk-averse amid lack of clarity on global trade deals.