It plays to the risks of the Reserve Bank of New Zealand cutting rates earlier than its current track suggests.
Heightened concerns over inflation risks in the U.S. and a consequent monetary policy-induced slowdown in economic growth are keeping U.S. dollar bulls in check.
There are clearly upside risks around the consensus expectations for non-farm payrolls. As such, we would not be short the U.S. dollar over the next 24 hours.