Australia, NZ Dollars Boosted by Data, Market Optimism


SYDNEY, Feb 9 Reuters The Australian and New Zealand dollars were trading higher against the greenback on Tuesday, as improved market sentiment and optimistic economic surveys pushed the risksensitive currencies to multiweek highs.

The Aussie was 0.32 higher to 0.7727 against the greenback, its highest since Jan. 27, climbing toward its January peak of 0.7819 as a survey of business confidence pointed to an ongoing economic recovery for the Antipodean country.

The National Australia Banks index of business confidence doubled to 10 points in January, even as conditions eased back from historic highs as coronavirus breakouts curbed activity in a few cities but were ultimately contained.

Across the Tasman, the kiwi dollar traded 0.46 higher to 0.7253, the highest in a month, after finding support at 0.7220, as it edges towards its the January top of 0.7314.

Asian stock markets rose on Tuesday after a recordsetting day on Wall Street, while Oil also hit 13month highs, helped by rising optimism about a return in fuel demand.

Both currencies today are reacting to the very strong session overnight in U.S. equities, oil and precious metals, and then the local data have really boosted both Aussie and the Kiwi, said Steven Dooley, APAC currency strategist at Western Union Business Solutions.

New Zealand inflation expectations for the year posted a large rise to 1.77, from 1.23 previously, a survey by the central bank showed, while twoyear expectations rose 30 basis points…


Please enter your comment!
Please enter your name here