AUD/USD & NZD/USD Slide as Risk-Off Sentiment Fuels USD Buying

AUD/USD and NZD/USD are extending losses during Thursday's session as a broad risk-off wave sweeps across global markets, driving safe-haven demand for the U.S. dollar. Both pairs, widely regarded as risk-sensitive barometers, are under heavy selling pressure as equity markets sell off amid concerns over AI trade valuations and escalating Middle East geopolitical tensions. The deterioration in investor sentiment has amplified dollar buying, with technical breakdowns reinforcing the bearish momentum. AUD/USD has slipped below recent support levels, while NZD/USD faces similar downside pressure as traders flee higher-yielding currencies. The stronger-than-expected U.S. import price data (+0.3% vs. -0.7% expected) has further bolstered the dollar by suggesting persistent inflationary pressures, potentially delaying Federal Reserve rate cuts. Traders should monitor key support zones on both pairs, as sustained risk aversion could accelerate further declines. Any recovery in global equity sentiment would be needed to stabilize these commodity-linked currencies.