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New Zealand Dollar Gains for 2nd Day

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The New Zealand dollar rose to around $0.574 on Wednesday, extending gains from the prior session amid hopes that U.S. President Donald Trump would take a more measured approach on tariffs.

Trump on Monday indicated that not all of his threatened levies would be imposed on April 2 and hinted at potential exemptions, but provided no details.

In addition, S&P Global Ratings projected that New Zealand and other regional economies would be less affected by U.S. trade measures.

Domestically, however, the kiwi remains under pressure due to expectations of further monetary easing, with the Reserve Bank of New Zealand signaling two 25bps rate reductions in April and May, and a possible third cut later in the year.

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