New ZealandÃ¢â‚¬â„¢s dollar fell against all its major counterparts after a report showed the jobless rate rose more than economists forecast, signaling the central bank will slow the pace of interest rate increases.
The currency ended a four-day gain versus the greenback as traders cut bets the central bank will raise rates at its policy meeting next month. AustraliaÃ¢â‚¬â„¢s dollar traded near a three-month high against its U.S. counterpart as gains in Asian stocks and commodities boosted demand for higher-yielding assets.
Ã¢â‚¬Å“The New Zealand dollar dropped sharply this morning following the higher-than-expected unemployment rate result,Ã¢â‚¬Â said Mike Jones, a currency strategist at Bank of New Zealand Ltd. in Wellington. Ã¢â‚¬Å“We saw last week the central bank move toward a slightly less hawkish stance and I think this is another piece of data, which backs up that stance.Ã¢â‚¬Â
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