NZDUSD Exchange Rate

The U.S. dollar was higher against its major counterparts in the New York session on Friday, as investors awaited the release of U.S. inflation data for April next week, which will guide the outlook for Fed rate cuts.

A report released by the University of Michigan on Friday showed a substantial deterioration in U.S. consumer sentiment in the month of May. The University of Michigan said its consumer sentiment index plunged to 67.4 in May from 77.2 in April. Economists had expected the index to edge down to 76.0.

The manufacturing sector in New Zealand continued to contract in April, albeit at a slower pace, the latest survey from BusinessNZ revealed on Friday with a score of 48.9.

The U.S. dollar fell against its major counterparts in the New York session on Thursday, as weekly jobless claims rose more than expected last week, the highest level since August 2023.

the dollar's upward momentum was abruptly halted by the release of the latest U.S. Initial Jobless Claims data, which surged to levels unseen since last November.

The Australian Dollar (AUD/USD) dipped to 0.6600 from 0.6620 after the RBA kept the cash rate unchanged at 4.35%. While the move was widely expected, a firmer Greenback weighed on the Aussie Battler.

The Dollar Index, which gauges the value of the Greenback against a basket of 6 major currencies, climbed to 105.77 from 105.57 after the US PCE report showed price pressures remain elevated.

The Dollar Index, a popular gauge of the Greenback’s value against a basket of 6 major currencies, steadied to close at 106.11 (106.15 Friday).