NZD Hits Three-Month High on Middle East Diplomacy

The New Zealand dollar has reached its highest point in three months, trading at around $0.597 on Wednesday.

This rise comes after the previous session's gains, driven by improved risk sentiment due to progress in Middle East negotiations.

Pakistan reported significant advancements in talks with Iran to end the war, while Tehran and Oman discussed plans for a temporary transit corridor through the Strait of Hormuz and a project to clear mines from the waterway.

The developments eased concerns over disruptions to shipping through the strait.

Additionally, expectations are high that the Reserve Bank of New Zealand will deliver another 25-basis-point rate hike at its upcoming meeting next week.