The New Zealand dollar climbed to a 14-month high on a trade-weighted basis as a stronger than expected US jobs report stoked investors' appetite for risk-sensitive assets, boosting stock markets and commodity prices.
The trade-weighted index rose as high as 78 and was at 77.90 at 8am in Wellington from 77.59 last week. The kiwi was little changed at 72.92 US cents from 73.04 cents at the New York close on Friday, and up from 72.54 cents at 5pm in Wellington.
Stocks on Wall Street and in Europe rallied after US non-farm payrolls showed the world's biggest economy added 287,000 jobs last month, more than the 180,000 expected. Still, the data also reported higher unemployment and tepid wage growth, which some investors took to mean the Federal Reserve would delay raising interest rates.
Commodities also rallied, with the Thompson Reuters CRB/CoreCommodity index up 0.8 percent, lifting demand for currencies sensitive to movements in raw material prices such as the kiwi and Australian dollars.
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