The New Zealand dollar rose toward $0.570, on track for its first weekly advance in three weeks after rebounding from a seven-month low, as the US dollar weakened.
The greenback fell to a two-week low after a weaker-than-expected jobs report prompted investors to scale back bets on an imminent rate hike by the Federal Reserve.
The kiwi also found support from expectations that the Reserve Bank of New Zealand will raise rates next week, with market pricing indicating about a 78% probability of a hike.
However, economists remain divided, with some calling for a hold as the decline in oil prices reduced inflation risks.
Domestic data this week added further support to the currency, with business sentiment improving, signaling the economy may not slow as much as initially feared.
Consumer confidence also increased as inflation concerns linked to the earlier spike in oil prices quickly faded.