The New Zealand dollar fell toward critical support near 0.5950 against the U.S. dollar on Friday after January core PCE inflation printed hotter than expected, prompting traders to unwind bets on near-term Federal Reserve rate cuts and lifting the greenback across foreign exchange markets. Core PCE, the Fed’s preferred gauge, rose 0.4% month over month versus a 0.3% consensus and accelerated to 2.8% year over year from 2.6%, above the 2.7% forecast, signaling stubborn price pressures that complicate policy easing. CME FedWatch showed March cut odds near zero and June odds down to roughly 60% from about 75%, while Treasury yields rose and the dollar index climbed, widening the rate differential against the kiwi and other risk-sensitive currencies. The Swiss franc also weakened as USD/CHF moved higher. Traders are watching NZD/USD support at 0.5950 and resistance near 0.6000, with the next U.S. jobs report, CPI release and Fed speak likely to decide whether the dollar’s rebound has staying power.