NZD/USD snapped a six-day losing streak Tuesday, despite almost wiping out its initial advance as the BBDXY index recovered to print fresh all-time highs.

• The rate climbed to $0.5722 in the Asia-Pac session before buying interest petered out. Weaker risk tone facilitated the subsequent sell-off, with most equity benchmarks across Europe and America retreating into negative territory. This resulted in NZD/USD charting a gravestone Doji candlestick.
• AUD/NZD displayed strong correlation with Australia/New Zealand 2-Year swap spread, pulling back from cyclical highs printed Monday at NZ$1.1462.
• Hawkish tweaks to terminal OCR calls from BNZ and TD Securities may have lent some support to the kiwi early on, despite Governor Orr's assertion that the tightening cycle is already "very mature." Market pricing for the next MPC meeting has been steady over the past few weeks, with a 50bp rate hike fully baked in.
• NZD/USD last deals at $0.5629, down 10 pips on the day. Renewed losses past Mar 23, 2020 low of $0.5591 would open up Mar 19, 2020 multi-year low of $0.5470. Bulls look for a rebound towards the $0.6000 mark.
• The local data docket is empty today. Eyes are on ANZ sentiment gauges and comments from RBNZ Gov Orr, due later this week.