NZD/USD gains on strong Q4 consumer confidence surge to 96.5

NZD/USD is poised for upward momentum following New Zealand's consumer confidence index jumping to 96.5 in Q4 from 90.9 in Q3, marking a significant improvement in economic sentiment. The 5.6-point increase represents the highest confidence level in recent quarters, signaling robust consumer spending prospects that could influence the Reserve Bank of New Zealand's monetary policy stance. Strong consumer confidence typically translates to increased retail spending and economic growth, potentially delaying any rate cuts or supporting further tightening. The kiwi dollar faces immediate resistance at 0.5750, with support established at 0.5680. Market participants are reassessing RBNZ rate expectations, with the improved data reducing dovish bets for 2025. This positive sentiment shift strengthens NZD against major counterparts, particularly USD, as traders position for potential hawkish RBNZ commentary in upcoming meetings.