New Zealand Dollar Slips Amid Safe-Haven Flows and US Economic Uncertainty

The New Zealand Dollar (NZD), also known as the Kiwi, experienced its third consecutive day of losses, trading around 0.5870 in Asian hours on Wednesday.

This decline comes as the US Dollar strengthened due to safe-haven flows amid heightened uncertainty over peace negotiations in the Middle East.

Pakistan's defense minister indicated that Washington and Tehran were nearing an understanding related to the Strait of Hormuz, while US President Donald Trump stated that Tehran must provide reparations to victims of attacks linked to the Islamic Republic.

The market-implied odds for a 25-basis-point Fed hike in September slipped to nearly 48%, down from 52% the day before, according to the CME FedWatch Tool.