The New Zealand dollar hovered around $0.593 on Friday, after losing some ground in the prior session as renewed US-Iran tensions weighed on sentiment. The US military launched strikes on Iranian military targets on Thursday in response to attacks on its three destroyers in the Strait of Hormuz, adding fresh uncertainty to prospects for a peace deal. Still, investors focused on signs that the US is seeking to de-escalate tensions, while also awaiting Iran’s response to a proposal to reopen the strait. Meanwhile, the jobs report released earlier this week showed mixed results and had little impact on rate expectations. Traders see only a 34% chance of a rate hike later this month, though a July increase remains fully priced in as rising energy costs fuel inflation concerns. The RBNZ said the financial system remains resilient amid heightened global risks, though warned of a slower economic recovery that could weigh on employment. The kiwi is on track for its second straight weekly gain.