The NZD/USD pair extended losses on Thursday, trading below the 0.6000 level. The previous day’s surprise rate cut by the Reserve Bank of New Zealand (RBNZ) and subsequent comments from Governor Orr have dampened investor sentiment towards the New Zealand Dollar.

RBNZ’s Dovish Stance Weighs on NZD

The RBNZ’s decision to cut interest rates by 25 basis points and the bank’s consideration of a larger 50 basis point reduction have significantly impacted market expectations for New Zealand’s monetary policy. Governor Orr’s comments failed to provide any relief for the New Zealand Dollar, maintaining a downward pressure on the currency.

Technical Outlook

The NZD/USD pair is exhibiting bearish momentum, with technical indicators suggesting a potential continuation of the downtrend. Immediate support is located at the 0.6000 level, and a break below this level could open the door for a deeper correction.