While the Australian and New Zealand dollars both faced some pressure due to the meltdown in the Turkish lira last week, a correction in NZD helped the ‘Kiwi’ come out on top.
The Australian dollar found some strong gains in the first half of last week as markets welcomed the release of Australia’s latest GDP figures, which revealed stronger-than-expected growth in the first quarter.
Meanwhile with little in the way of domestic data, the New Zealand Dollar was left to the whims of markets, with fluctuating risk sentiment driving movement.
However both AUD and NZD suffered in the latter half of the week’s session as increased trade tensions between the US and its allies ahead of the G7 summit, reignited fears of a possible global trade war.
Looking ahead the Australian dollar could see some gains this week if Australia’s latest labour report reveals domestic unemployment fell last month as expected.
Meanwhile it looks to be another quiet session in terms of New Zealand data this week, potentially leading to further volatility in the ‘Kiwi’ as it continues to be driven by market risk appetite.
Joining the corporate trading desk in 2007, Phil now over sees all of Currencies Direct’s corporate dealing activity. Having gained experience working with hundreds of businesses to optimise international payments processes and execute comprehensive risk management strategies, Phil currently works with a portfolio of corporate clients whilst managing Currencies Direct’s overall market exposure
Phil has FCA approval and has completed the Certificate in International Treasury Management (CertiTM)