New Zealand’s dollar gained after the central bank raised its benchmark rate for a second month and increased its growth estimate for the year ended March.
The yen rose the most in almost two weeks versus the dollar as the U.S. and China reported weaker- than-forecast economic data amid increasing tensions in the Ukraine.
The pound rose to the strongest level in seven weeks versus the euro amid speculation Bank of England minutes tomorrow will show policy makers are moving closer to raising borrowing costs.
The dollar gained for a seventh day against a basket of peers, the longest streak in almost a year, as revised data in a Federal Reserve Bank of Chicago index signaled greater-than-forecast strength in the U.S. economy.
Manufacturing will take center stage in the global economic watch this week, with the U.S. projected to fare better than the rest.
The dollar posted weekly gains against the euro and the yen as improvements in economic data strengthened the case for the Federal Reserve to remove stimulus this year.
Dairy prices fell for a fifth straight auction, suggesting Fonterra Cooperative Group Ltd. may have to reduce its forecast milk payout to New Zealand farmers.
New Zealand inflation unexpectedly slowed and dairy prices extended a decline, sending the nation’s currency lower as traders pared bets on the scale of future interest-rate increases.
The Australian dollar slid against all its major peers as a slump in global stock markets damped demand for higher-yielding currencies.
China’s hunger for commodities including iron ore and milk is helping make the Australian and New Zealand dollars this year’s best-performing developed-nation currencies.
Axel Merk Favors New Zealand Dollar