AUD/NZD prints fresh four-year high at 1.1180 ahead of Australian Retail Sales

• AUD/NZD has printed a fresh four-year high at 1.1176, empowered by a three-day winning streak.
• As per the market consensus, Australian Retail Sales are seen lower at 0.5%.
• The New Zealand Business Confidence data is expected to improve to -55.

The AUD/NZD pair has recorded a fresh four-year high at 1.1176 in the early Tokyo session despite the lower consensus for Australian Retail Sales, which will release on Thursday. The cross has displayed a juggernaut rally after surpassing the psychological resistance of 1.1100. The pair continued its three-day winning streak on Thursday and more gains seem possible ahead.

A preliminary estimate for the Australian Retail Sales is 0.5%, lower than the prior release of 0.9% on a monthly basis. It is worth noting that price pressures have remained higher in the Australian economy. The Australian Bureau of Statistics, on Wednesday, reported the inflation rate for Q2CY22 at 6.1%. The investing community is aware of the fact that higher energy bills and costly food products have resulted in higher payouts for households.

Therefore, the Retail Sales data should have soared dramatically but lower estimates for the economic data indicate that the overall demand from the retail participants has remained extremely lower. An occurrence of the same could push aussie on the back foot.

On the kiwi front, the release of the Business Confidence data holds significant importance. The economic data is expected to improve to -55 against the prior release of -62.6. An improvement in the above-mentioned data indicates that corporate is enjoying the available business conditions in the economy. Also, it empowers the companies to invest vigorously.