Greenland news boosts markets
The Australian and NZ dollars led gains overnight as markets continued to react positively to President Trump’s speech in Davos.
Trump’s move to calm fears over the potential use of force in Greenland has seen global markets push higher over the past 36 hours.
Overnight, the Dow Jones gained 0.6%, while the Nasdaq rose 0.9%.
The economically sensitive Australian and NZ dollars were the best performers.
AUD/USD gained 1.2% to climb to its highest level since October 2024.
NZD/USD gained 1.1% to hit its highest level since 18 September.
USD/CNH climbed 0.1%, while USD/SGD fell 0.3%.
Aussie climbs as RBA meeting heats up
The Reserve Bank’s February meeting is shaping up as a live event after strong December jobs data. A hot Q4 inflation print next week could put a rate hike back on the table.
Employment surged by 65.2k, driven by a 54.8k jump in full‑time positions, far above the +27k forecast. The jobless rate dropped to 4.1%, beating expectations of 4.3% and the RBA’s December projection of 4.4%. Participation held steady at 66.7%, just shy of the 66.8% estimate.
AUD/USD has pushed toward the top of its rising channel.
Support sits at 0.6706 on the 21‑day average, with the 50‑day close behind at 0.6656.
Kiwi lifts as holiday spending cools
New Zealand’s December card spending slipped 0.5% from a year earlier, reversing November’s 1.6% rise as the Black Friday surge failed to carry into Christmas. Retail NZ said durables dropped 4.3% and apparel fell 3%, while consumables rose 2%, likely reflecting stubborn grocery inflation.
Seasonally adjusted figures showed a slight 0.1% decline, with apparel down 3.6% as the only notable category fall. Heavier use of credit cards points to households still under strain, even as business sentiment improves.
The kiwi dollar, however, has edged higher, now 7% above its 9 April 2025 low of 0.5486.
Key support sits near 0.5786 on the 100‑day average, with the 50‑day close behind at 0.5774.
Aussie, kiwi lead the charge
Table: seven-day rolling currency trends and trading ranges
Key global risk events
Calendar: 19 – 24 Jan
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*The FX rates published are provided by Convera’s Market Insights team for research purposes only. The rates have a unique source and may not align to any live exchange rates quoted on other sites. They are not an indication of actual buy/sell rates, or a financial offer.
