The New Zealand dollar edged down to $0.597 on Wednesday, halting a two-day advance as traders turned cautious ahead of Thursday’s GDP release. The economy is expected to contract by 0.3% in the June quarter, reinforcing the Reserve Bank of New Zealand’s dovish outlook. Last week, RBNZ Governor Christian Hawkesby reiterated the central bank’s projection for its official cash rate to fall by a total of 50bps by year end, noting the pace of easing would depend on data. Markets currently price in a 25bps rate cut at the October meeting, with rates expected to trend lower toward 2.50% by early 2026. However, losses in the kiwi were cushioned by weakness in the US dollar, as investors anticipate the Federal Reserve will slash rates by 25bps at the conclusion of its two-day policy meeting later today.