SYDNEY/WELLINGTON: The Australian and New Zealand dollars were poised for strong weekly gains on Friday against their US counterpart, which struggled as a contentious presidential election diminished hopes of a fiscal stimulus to support the economy.

The Australian dollar was last down 0.3% at $0.7265 as local investors fretted over the country's relationship with China, its largest trading partner. Currency traders, however, said souring trade relations are yet to hit overall exports.

Despite Friday's losses, the currency is on track to end the week more than 3% higher. The New Zealand dollar climbed 0.1% to $0.6781 and was so far up 2.5% for the week.

Diplomatic relations between both economies have become strained after Beijing was angered by Australia's call for an international inquiry into the source of the coronavirus, and Australian police raids connected to foreign interference investigations.

Investors are also closely watching the results of the US presidential election and leapt on the prospect of gridlock in Congress and the notion Silicon Valley will be spared greater oversight if the Democrats in fact are unable to control the Senate, analysts said.