Markets adopt a cautious tone despite progress in US-Iran negotiations, with USD gaining 1.2% against NZD over the past week.
The US Dollar (USD) showed strength against major currencies, rising 1.2% against the New Zealand Dollar (NZD) over the past seven days. Investors remained cautious as they weighed geopolitical developments, including reported progress in US-Iran talks aimed at lifting sanctions on Iranian oil exports.
May Consumer Price Index (CPI) data from Canada and speeches by central bank policymakers are expected to drive market focus later in the day. The USD/JPY pair, for instance, reflected a 0.5% gain for the USD over the week, highlighting its relative resilience amid shifting risk sentiment.
Mediators indicated that Sunday’s negotiations between US and Iranian officials, facilitated by Qatar, marked progress toward de-escalating tensions. US Vice President JD Vance downplayed recent Israeli attacks in Lebanon, suggesting a potential easing of regional hostilities.