NZD gave up earlier gains and turned lower versus the dollar in European morning
trade on Thursday as risk sentiment weakened. Renewed Houthi attacks, including
a strike on a Saudi airport, pushed Brent crude toward $102/bbl amid rising
fears of further strikes on Saudi oil facilities and tighter supply. Higher oil
lifted US Treasury yields as markets priced stronger energy-driven inflation,
capping further USD weakness after Asian-session declines. Those moves offset a
modest dollar dip following Fed minutes, which showed policymakers remain
concerned about inflation but left market expectations for the Fed to hold rates
in October unchanged.
