NZ Dollar Gains on Optimistic Outlook for US Economy

The New Zealand dollar advanced today together with some other currencies of emerging markets as optimistic forecasts for tomorrow’s non-farm payrolls led to speculations that the US economy will lead global growth.
Forecasters predict that tomorrow’s report will show growth of US employment by 216,000 jobs. Today’s unemployment claims data spoiled the optimistic outlook somewhat but did not erase it altogether. Signs of economic growth in the United States often drive traders away from riskier currencies towards the US dollar, but today evidences of recovery in the USA made riskier assets more appealing.
The New Zealand dollar was the top performer among most-traded currencies over the past three months, rising 4.1 percent. The currency remains resilient even in face of disappointing economic data from China.
NZD/USD rose from 0.8615 to 0.8618 and NZD/JPY edged higher from 88.05 to 88.24 as of 19:28 GMT today. EUR/NZD dropped from 1.6089 to 1.6064 after rising to 1.6126 earlier.

If you have any questions, comments or opinions regarding the New Zealand Dollar,
feel free to post them using the commentary form below.

Leave a Reply

Your email address will not be published. Required fields are marked *