• NZD/USD trades sideways around 0.5950, with investors focusing on the US NFP report for July.
• The Fed is expected to roll back its restrictive policy framework from September.
• Risk aversion market mood has dampened the New Zealand Dollar’s near-term outlook.

The NZD/USD pair trades in a tight range near 0.5950 in Friday’s European session. The Kiwi asset exhibits indecisiveness among market participants as investors await the United States (US) Nonfarm Payrolls (NFP) data for July, which will be published at 12:30 GMT.

The NFP report will indicate the current status of the labor market, which will influence market speculation for Federal Reserve’s (Fed) September interest rate cuts. According to the estimates, US employers are expected to have hired 175K fresh workers, lower than 206K payrolls recorded in June. The Unemployment Rate is expected to remain steady at 4.1%.

Apart from Employment numbers, investors will focus on the Average Hourly Earnings data, a key measure to wage growth that fuels consumer spending which eventually influence price pressures. Annually, the wage growth measure is estimated to have decelerated to 3.7% from the prior reading of 3.9%, with monthly figure growing steadily by 0.3%.