NZD/USD Bounces Back Above 0.5800 as Traders Await US CPI Data

The New Zealand Dollar (NZD/USD) has bounced back above 0.5800, ending its four-day losing streak in early European trading hours on Friday.

However, the upside for the pair might be limited as markets turn cautious ahead of the key US Consumer Price Index (CPI) inflation data later on Friday.

The Federal Reserve will use this report to inform its decision on interest rates next week, with markets currently pricing in a 70% chance of a rate hike.