The New Zealand dollar edged up to $0.589 but remained close to its lowest level in six weeks, as mounting conflict in the Middle East kept investors cautious. Continued hostilities in the region have resulted in rising casualties and widespread destruction, as well as a surge in energy prices. The kiwi has been particularly pressured due to New Zealand’s heavy reliance on imported oil, making it vulnerable to higher fuel costs. On the monetary policy front, the Reserve Bank of New Zealand held its cash rate steady last month and emphasized the need to maintain accommodative policy. Governor Anna Breman also said the economy has scope to recover this year without triggering excessive inflation, signaling less urgency for a rate increase in the near term. Markets now see only a small probability of a first rate hike until December.