Antipodean currencies such as the Australian and the New Zealand dollars weakened against their major counterparts in the Asian session on Tuesday amid rising worries over rising geopolitical tensions in the Middle East and the Korean peninsula.
In economic news, data from the National Australia Bank showed that Australia's business confidence strengthened to the highest level since global financial crisis. The business conditions index rose 5 points to 14 in March, the highest since 2008. Conditions more than recovered from prior month's drop, re-establishing a clear upward trend for the series, the survey revealed.
Data from the Statistics New Zealand showed that the overall credit card spending in New Zealand was up a seasonally adjusted 0.5 percent on month in March. That was in line with forecasts following the upwardly revised 0.7 percent decline in February.
Retail credit card spending slipped 0.3 percent, missing expectations for an increase of 0.5 percent following the 0.6 percent decline in the previous month.
Monday, the Australian and the New Zealand dollars showed mixed trading against their major rivals. While the aussie and the kiwi fell against the U.S. dollar, they rose against the yen and the euro.
In the Asian trading, the Australian dollar fell to nearly a 2-month low of 0.9987 against the Canadian dollar and a 4-day low of 82.88 against the yen, from yesterday's closing quotes of 0.9997 and 83.21, respectively. If the aussie extends its downtrend, it is likely to find support around 0.98 against the loonie and 81.00 against the yen.
Against the U.S. dollar, the aussie dropped to 0.7494 from an early 4-day high of 0.7513. The aussie is likely to find support around the 0.73 region.
The aussie slipped to 1.4124 against the euro, from yesterday's closing value of 1.4117. On the downside, 1.44 is seen as the next support level for the aussie.
The NZ dollar fell to a 4-day low of 76.80 against the yen, from yesterday's closing value of 77.19. The kiwi is likely to find support near the 75.00 region.
Against the euro and the U.S. dollar, the kiwi dropped to 1.5246 and 0.6941 from an early 1-week high of 1.5204 and a 4-day high of 0.6969, respectively. If the kiwi extends its downtrend, it is likely to find support around 1.54 against the euro and 0.68 against the greenback.
Against the Australian dollar, the kiwi edged down to 1.0801 from yesterday's closing value of 1.0777. On the downside, 1.09 is seen as the next support level for the kiwi.
Meanwhile, the safe-haven yen rose against its major rivals amid rising geopolitical tensions.
The yen rose to near 5-month highs of 117.06 against the euro and 109.58 against the Swiss franc, from yesterday's closing quotes of 117.51 and 109.96, respectively. If the yen extends its uptrend, it is likely to find resistance around 116.00 against the euro and 108.00 against the franc.
Against the U.S. dollar, the yen advanced to a 4-day high of 110.58 from yesterday's closing value of 110.91. The yen may test resistance around the 109.00 region.
The yen edged up to 137.35 against the pound, from yesterday's closing value of 137.73. The yen is likely to find resistance around the 136.00 region.
Looking ahead, U.K. consumer price, producer price and retail price index for March and house price index for February and German ZEW economic sentiment index for April are due to be released later in the day.
In the New York session, U.S. NFIB small business index for March is slated for release.
At 1:45 pm ET, Federal Reserve Bank of Minneapolis President Neel Kashkari is expected to speak at the Minnesota Business Partnership, in Minneapolis.
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