AUD/NZD Retreats Ahead of Australian Jobs Data

The Australian Dollar (AUD) has cooled off against the New Zealand Dollar (NZD), following its recent peak just under 1.2500, a level it hasn't seen since early 2013.

This dip comes as the Reserve Bank of Australia (RBA) is widely expected to raise interest rates on September 29 to 4.60%, while the Reserve Bank of New Zealand (RBNZ) has no plans for a rate hike, keeping its cash rate at 2.75%.

The gap between the two countries' interest rates has driven the climb in AUD/NZD, with a strong employment report on Thursday expected to confirm this trend, and support further gains for the Aussie Dollar.