Dollar goes from strength to strength
The Australian dollar has pushed higher, helped along by continued strength on sharemarkets.
Late on Friday, the currency was at trading at US105.56¢, up from US105.21¢ on Thursday.
OzForex chief currency strategist Jim Vrondas said the dollar continued to rally, thanks to gains on both the Australian and US stockmarkets.
"There has been a bit of positive sentiment from equity markets and it looks like that is helping to keep the Aussie dollar buoyed," he said.
The dollar has risen around two US cents since the start of the week, helped along by stockmarket gains and Japan's stimulus package.
That's despite a brief pullback on Thursday following news the national unemployment rate had risen to 5.6 per cent in March, its highest level in three years.
Mr Vrondas said the dollar could continue rising over the weekend, though it would meet strong resistance around the US106¢ level.
Meanwhile, 10-year bond futures prices were higher on expectations of further interest rate cuts.
ANZ head of interest rate research Tony Morriss said bond futures remained well supported, in part due to the recent rise in the Australian dollar that had boosted expectations of a further monetary easing.
Mr Morriss said traders were still evaluating the effect of Japan's stimulus efforts, weaker Chinese inflation data and Thursday's job figures.
"I think there has been some support for our market on the basis that our currency has appreciated, which increases the chances of further easing from the RBA."
The Reserve Bank has kept the cash rate on hold at three per cent since December 2012.
The June 10-year bond futures contract was trading at 96.700 (implying a yield of 3.300 per cent), up from Thursday's close of 96.685 (3.315 per cent). The three-year contract was unchanged at 97.220 (2.780 per cent).