By Cecile Lefort and Swati Pandey
SYDNEY/WELLINGTON, Nov 11 (Reuters) - The Australian and New Zealand dollars wallowed above one-month lows on Wednesday as investors braced for another batch of economic data out of China.
The Australian dollar AUD=D4 stood at $0.7044, having traded in a narrow band of $0.7016-$0.7070 in the last three sessions.
The focus is on China's industrial output, retail sales and urban investment at 0530 GMT. Following subdued inflation data on Tuesday, the risk is for disappointment which could see the Aussie break major support at $0.7008 and test the Sept. 29 low of $0.6934.
The Aussie is often used as a proxy for China plays, as it is a main market for Australia's exports.
The New Zealand dollar NZD=D4 held at $0.6557, having also been stuck in a thin band between $0.6500 and $0.6566 since Monday. Strong support was found at 65 cents, a level tested three times in as many sessions.
The kiwi dollar was vulnerable to a further easing to official cash rates, especially after the country's central bank highlighted growing risks to its financial system from a dairy slowdown.
New Zealand government bonds rose, sending yields 4 basis points lower at the long end of the curve.
Australian government bond futures bounced off three-month lows, with the three-year bond contract up 1 tick at 97.960. The 10-year contract added half a tick to 97.0850, while the 20-year contract was steady at 96.5450. (Editing by Shri Navaratnam)