Ella 
NZD/USD extended gains for the second consecutive day, trading around 0.6010 during the Asian session on Thursday. The New Zealand dollar rose after Chinese data on Thursday, amid strong trade ties between New Zealand and China.
China’s imports rose 8.4% (year-on-year) in April, beating expectations of 5.4%. Elsewhere, exports rose 1.5%, beating analysts’ expectations of 1.0%. These latest data come as a positive surprise amid concerns that the United States may impose additional tariffs on Chinese goods. However, the dollar trade balance rose to $72.35 billion from $58.55 billion in March, slightly below expectations of $76.7 billion.
In New Zealand, the Reserve Bank of New Zealand (RBNZ) said it would delay any potential monetary easing until 2025. The Reserve Bank of New Zealand cited higher-than-expected inflationary pressures in the first quarter as the reason for the stance. This decision is likely to provide support for the New Zealand dollar.
In terms of the U.S. dollar (USD), expectations that the Federal Reserve (Fed) will maintain higher interest rates for a long time have pushed U.S. Treasury yields higher. This supported the US Dollar (USD), limiting the gains in the NZD/USD pair.
In addition, hawkish comments from Federal Reserve officials also strengthened the dollar. According to Reuters, Boston Federal Reserve President Susan Collins stressed on Wednesday that the U.S. economy must have a period of moderation to achieve the central bank’s 2% inflation target.
