• NZD/USD fell to a daily low of 0.7132 on Wednesday.
• US Dollar Index stays in a consolidation phase below 94.00.
• Investors await Durable Goods Orders and Trade Balance data from US.

The NZD/USD pair came under modest bearish pressure in the early European session on Wednesday and declined to a daily low of 0.7132 before staging a rebound. As of writing, the pair was down 0.2% on a daily basis at 0.7155.

Focus shifts to US data, Wall Street

The data from New Zealand showed that the ANZ Business Confidence declined to -13.4 in October from -8.6 in September. Additionally, Statistics New Zealand reported that the trade deficit continued to expand in September. 

In addition to the disappointing data releases, the negative shift witnessed in market sentiment made it difficult for the risk-sensitive NZD to find demand. Moreover, escalating geopolitical tensions between the US and China seem to be having an impact on the pair's action. 

On the other hand, the US Dollar Index is staying in a consolidation phase a little below 94.00 on Thursday. The 1% decline seen in the benchmark 10-year US Treasury bond yield seems to be capping the greenback's gains. Later in the session, September Durable Goods Orders and Trade Balance data from the US will be looked upon for fresh impetus. 

In the meantime, US stock index futures are trading in the negative territory, suggesting that safe-haven flows could start to dominate the financial markets in the second half of the day.

Technical levels to watch for