FX.co ★ New Zealand Dollar Nears 4-Week Low

On Monday, the New Zealand dollar declined to approximately $0.595, marking its lowest point since late May, as adverse risk sentiment prevailed following a US strike on Iran, intensifying concerns over a potential escalation in the Middle East conflict. The United States conducted airstrikes on three Iranian nuclear sites early Sunday, signifying direct involvement in Israel's conflict with Iran. President Trump declared that significant Iranian nuclear facilities had been "completely destroyed" and cautioned of "much more severe" attacks should Iran not pursue peace efforts. Domestically, recent data revealed that New Zealand's GDP exceeded expectations in Q1, marking a second successive quarter of economic growth following two prior quarters of contraction. This development aligns with market forecasts indicating that possibly, only one additional rate cut remains in the present cycle of monetary easing, which investors expect to be realized by November. This week, attention turns to crucial economic indicators, including trade balance and consumer confidence, to provide deeper insights into the economy's trajectory.