ANL 34.32 Decreased By ▼ -0.20 (-0.58%)
ASC 14.85 Decreased By ▼ -0.31 (-2.04%)
ASL 24.50 Decreased By ▼ -0.33 (-1.33%)
AVN 90.24 Decreased By ▼ -4.76 (-5.01%)
BOP 7.79 Decreased By ▼ -0.08 (-1.02%)
BYCO 10.05 Decreased By ▼ -0.26 (-2.52%)
DGKC 124.20 Decreased By ▼ -2.40 (-1.9%)
EPCL 56.30 Decreased By ▼ -0.86 (-1.5%)
FCCL 24.31 Decreased By ▼ -0.19 (-0.78%)
FFBL 27.60 Decreased By ▼ -0.36 (-1.29%)
FFL 16.05 Increased By ▲ 0.01 (0.06%)
HASCOL 9.74 Decreased By ▼ -0.28 (-2.79%)
HUBC 80.00 No Change ▼ 0.00 (0%)
HUMNL 6.44 Decreased By ▼ -0.01 (-0.16%)
JSCL 20.50 Increased By ▲ 0.09 (0.44%)
KAPCO 40.21 Decreased By ▼ -0.73 (-1.78%)
KEL 3.85 Decreased By ▼ -0.02 (-0.52%)
LOTCHEM 16.25 Decreased By ▼ -0.99 (-5.74%)
MLCF 46.60 Decreased By ▼ -0.31 (-0.66%)
PAEL 35.10 Decreased By ▼ -1.07 (-2.96%)
PIBTL 10.33 Decreased By ▼ -0.16 (-1.53%)
POWER 9.25 Decreased By ▼ -0.10 (-1.07%)
PPL 85.50 Decreased By ▼ -0.24 (-0.28%)
PRL 25.01 Decreased By ▼ -0.70 (-2.72%)
PTC 9.55 Increased By ▲ 0.10 (1.06%)
SILK 1.24 Increased By ▲ 0.07 (5.98%)
SNGP 38.82 Decreased By ▼ -0.54 (-1.37%)
TRG 167.40 Increased By ▲ 7.79 (4.88%)
UNITY 30.65 Decreased By ▼ -0.10 (-0.33%)
WTL 1.53 Increased By ▲ 0.10 (6.99%)
BR100 4,820 Decreased By ▼ -31.91 (-0.66%)
BR30 25,669 Decreased By ▼ -2.82 (-0.01%)
KSE100 44,978 Decreased By ▼ -208.43 (-0.46%)
KSE30 18,443 Decreased By ▼ -42.02 (-0.23%)

Coronavirus
VERY HIGH
Pakistan Deaths
15,501
5824hr
Pakistan Cases
725,602
458424hr
Sindh
269,126
Punjab
250,459
Balochistan
20,321
Islamabad
66,380
KPK
99,595
Markets

Australia, NZ dollars extend gains on oil surge, economic optimism

  • "It's also the culmination of a re-rating of commodities in general, driving the view that the global recovery and reflation brings the potential for further gains in commodity currencies."
16 Feb 2021

SYDNEY: The Australian and New Zealand dollars extended their gains against the greenback on Tuesday, as optimism around a global economic recovery and a spike in oil prices underpinned the commodity-exposed currencies.

The Aussie bounced 0.29% to $0.7802, the highest in a month. The next chart barrier sits at $0.7820, its January peak.

Across the Tasman, the kiwi dollar advanced 0.46% to $0.7260, and up from Friday's trough of $0.7178. Resistance lies around $0.7280 and the January peak of $0.7314.

The Australian, New Zealand and Canadian dollars all moved in tandem with higher oil prices on Tuesday, as a cold front shut wells and refineries in Texas, the biggest crude producing state in the United States.

The currencies had also benefited from stronger iron ore and copper prices, buoyant expectations for a global recovery and vaccine optimism, traders said.

"That's been the key driver over the last 24 hours," said Steven Dooley, APAC currency strategist at Western Union Business Solutions.

"It's also the culmination of a re-rating of commodities in general, driving the view that the global recovery and reflation brings the potential for further gains in commodity currencies."

Australian 10-year bond yields were pushed wider to 1.33%, the widest since March. At 0.12%, yields on three-year paper remained pinned near the Reserve Bank of Australia's (RBA) target of 0.10%.

Yields on New Zealand's 10-year bonds were 6 points higher to 1.46%.