NZD Suffers First Contraction in Near-Two-Year Retail Sales Data

The New Zealand Dollar (NZD) has retreated from its highs against the US Dollar on Monday, weighed down by unexpectedly soft retail consumption data.

New Zealand's Retail Sales declined 0.5% in the second quarter of this year, falling short of the expected 0.1% increase.

This is the first contraction in sales in nearly two years and follows a 0.1% growth in the previous quarter.

The NZD/USD pair has pulled back to session lows near 0.5960 from Friday's highs near 0.6000, but with the broader bullish trend intact as the US Treasury's plan to boost bond buybacks continues to undermine speculative demand for the USD.