NZD: Tracking Near 0.6000, Recent Highs Nearby, USD Sentiment Falters

• Thailand to Sell THB25bn of 2029 Bonds
• Thailand to Sell THB9bn of 2055 Bonds
• Vietnam To Sell VND 0.5Tln 2040 Bonds; (TD2540037)
• Vietnam To Sell VND 0.5Tln 2055 Bonds; (TD2555052)
• Vietnam To Sell VND 0.5Tln 2030 Bonds; (TD2530008)
• Vietnam To Sell VND 11.5Tln 2035 Bonds; (TD2535026)
• Singapore to Sell S$7.4bn 182-Day Bills
• Singapore to Sell S$3bn Bonds Due 2030
• South Korea to Sell KRW2tn 63-Day Financial Bills
• India to Sell INR120bn 182-Day Bills
• India to Sell INR140bn 91-Day Bills
• India to Sell INR70bn 364-Day Bills 

In local morning trade, NZGBs are unchanged after US tsys finished Tuesday with modest gains. 

• US tsys pared losses after Philly Fed non-mfg came out much lower than prior -32.5 vs. -13.1. They then extended gains after Conf. Board Consumer Confidence printed lower than expected. New Home Sales dipped but the up-revision to prior more than made up for the move.
• Fed Gov Kugler's (permanent FOMC voter) overall view on rates is unsurprisingly very similar to pre-FOMC and the Committee's overall signalling of a wait-and-see stance on rate moves.
• Swap rates are flat to 1bp higher.
• RBNZ dated OIS pricing is little changed. 24bps of easing is priced for April, with a cumulative 65bps by November 2025.
• The local calendar was empty today and will remain so until Friday's ANZ Consumer Confidence and Filled Jobs data release.
• Tomorrow, the NZ Treasury plans to sell NZ$250mn of the 3.00% Apr-29 bond, NZ$200mn of the 4.25% May-36 bond and NZ$50mn of the 5.00% May-54 bond.
• The NZ Treasury also plans to offer NZ$2bn of bonds in April, NZ$500mn each week. A syndicated tap of the existing May 2032 nominal bond will be undertaken by April 30.

NZD/USD was little changed for Tuesday's session, rising less than 0.10%. We track near 0.5730/35 in early Wednesday dealings, the pair remaining within recent ranges. Most G10 currencies firmed against the USD on Tuesday, with USD indices ticking down slightly. The BBDXY off 0.11% to 1270.32.

• For Kiwi technicals, we remain close to the 20 (0.5733) and 50-day (0.5718) EMAs. Recent lows have been in the 0.5710/15 region. Upside focus may rest with a test of the 0.5760/65 region, which would put us back above the 100-day EMA.
• In Tuesday trade, US yields were slightly lower, the 10yr down 2bps to the low 4.31% region. US data was, on balance, softer than expected. Philly Fed non-mfg index came out much lower than prior -32.5 vs. -13.1, while Conf. Board Consumer Confidence printed 92.9, versus 94.0 forecast. The Richmond Fed's manufacturing survey for March fully reversed February's improvement.
• NZ-US 2yr swap spreads held near recent lows, last -53bps. In the equity space, EU markets were firmer across the board, although this didn't help EUR performance. SEK and JPY were the top G10 performers. US equities finished marginally higher.
• The local data calendar is empty today, but we do have Aust monthly Feb CPI, which could see spill over to NZD. AUD/NZD was last near 1.1000, just off recent highs (1.1004).