Let’s check the situation of the Forex for today.
The New Zealand dollar and its Australian counterpart led gains among major currencies on Friday. The geopolitical tensions eased. It prompted investors to buy riskier currencies. This week there was relatively upbeat U.S. economic data, which is benefiting the sentiment.
The dollar held firm against broad rivals of its basket. It is on track to post its best week in the last two months. It is because, in the Middle East, the prospect of war ebbed. Iran and the United States backed away from further confrontations.
A currency strategist at Credit Agricole in London is Manuel Oliveri. He said that risk sentiment is back. Hopes of an interim trade deal between the United States and China, as early as next week, contributed to this. Also, it is thanks to easing geopolitical tensions.
New Zealand and Australian Dollars
The New Zealand dollar edged up 0.2% to $0.6622.
The dollar has broadly outperformed in the G10 FX weekly. It is thanks to the robust data this week, which shows a pick-up in the U.S. service sector. Robust private hiring and joblessness claims are falling.
Ray Attrill is a National Australia Bank’s head of FX strategy. He says that there is nothing fundamental to drive people out of the United States dollar at this stage.
The dollar gained 0.6% against a basket of its rivals. It is the most significant weekly rise since early November. On Friday, it held firm at 97.44.
On Friday, moves in other major currencies were modest.
These are the main news.