The Australian and New Zealand dollars jumped on Tuesday as investors picked up risky assets although analysts warned any rally is likely to be short-lived amid simmering global trade tensions. The antipodean currencies hit one-week highs on the safe-haven yen while Asian equities were also bid up with Japan's Nikkei's index the top performer, up nearly 2 percent. US stock futures pushed higher in Asian afternoon trading.
The Australian dollar was last at $0.7086, up 0.5 percent. It went as high as $0.70955, which might have been driven by hopes of a US-China trade resolution ahead of a meeting of the two leaders next month. The New Zealand dollar added 0.4 percent to $0.6546, clocking its second straight day of gains.
Earlier, Bloomberg reported that US President Donald Trump had predicted a "great" deal with China in an interview on Fox News' Laura Ingraham Show. Trump said while he would want to make a deal "right now" he did not think China was ready yet, Bloomberg reported. "His remarks were quite ambiguous but markets latched on to it," said Kyle Rodda, Melbourne-based analyst at IG Markets. "There's not much substance in his comments but for whatever reason markets have fired on the back of it, specially risk assets."
Comments
Comments are closed.