FXStreet reports that according to economists at Westpac, the kiwi has potential for further downside to 0.6600 if global sentiment weakens further.

“The sharp reversal overnight lips the near-term outlook to negative, targeting 0.6600 over the next day or two.” 

“Further ahead, there’s plenty of event risk (and likely volatility) for the NZD over the next two weeks: NZ labour data, US election and RBNZ.”

“Multi-month, we expect risk sentiment to remain elevated into year-end, supported by unprecedented global central bank and government stimulus, and the USD to remain in a downtrend. That should see NZD/USD above 0.68 by year-end.”